Valley Corporation estimated that direct labor for the year would be 58,500 hours. Valleys overhead (all fixed)

Question:

Valley Corporation estimated that direct labor for the year would be 58,500 hours. Valley’s overhead (all fixed) is applied on the basis of direct labor-hours. The company estimates its overhead costs at $234,000. During the year, all overhead costs were exactly as planned ($234,000). There was $7,800 in over-applied overhead.

Required

How many direct labor-hours were worked during the period? Show computations.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...