A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that total factory overhead costs would be $326,100 and direct labor hours would be 48,500. Actual manufacturing overhead costs incurred were $314,800, and actual direct labor hours were 54,100. What is the predetermined factory overhead rate per direct labor hour? 55.36 b$8.07 $10.09 4. $6.72

A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that total factory overhead costs would be $326,100 and direct labor hours would be 48,500. Actual manufacturing overhead costs incurred were $314,800, and actual direct labor hours were 54,100. What is the predetermined factory overhead rate per direct labor hour? 55.36 b$8.07 $10.09 4. $6.72

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Description: A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that total factory overhead costs would be$326,100 and direct labor hours would be 48,500. Actual manufacturing overhead costs i

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that factory overhead costs would be $351,232 and direct labor hours would be 43,904. Actual factory overhead costs incurred were $391,711, and actual direct labor hours were 51,004. What is the amount of overapplied or underapplied manufacturing overhead at the end of the year? a.$16,321 overapplied b.$408,032 overapplied c.$16,321 underapplied d.$56,800 underapplied Aspen Technologies has the following budget data: Estimated direct labor hours 9,200 Estimated direct labor dollars $65,200 Estimated factory overhead costs $178,500 If factory overhead is to be applied based on direct labor hours, the predetermined overhead rate is a.$19.40 b.$29.10 c.$15.52 d.$23.28
Assume the following: 1. Estimated fixed manufacturing overhead for the coming period of $220,000 2. Estimated variable manufacturing overhead of $2.00 per direct labor hour 3. Actual manufacturing overhead for the period of $320,000 4. Actual direct labor-hours worked of 54,000 hours 5. Estimated direct labor-hours to be worked in the coming period of 55,000 hours. The amount of overhead applied to production during the period is closest to: Note: Round your intermediate value of "Predetermined overhead rate" to two decimal places. Multiple Choice $325,926. $324,000. $336,004.
The related data of Manushi Company: Actual direct labor hours 10,000 Actual overhead cost 682,500 Overapplied factory overhead 125,700 Factory overhead is based on direct labor hours. How much is the predetermined rate?
At the beginning of the year, a company estimated a predetermined plantwide overhead rate of $8.50 per machine - hour. Job X used 16 machine-hours and it was charged $200 and $288 for direct materials and direct labor, respectively. What is the total job cost for Job X? A. $446 B. $136 C. $624 D. $488
Pharoah Company applies manufacturing overhead based on direct labor hours. Information concerning manufacturing overhead and labor for the year is as follows: Actual manufacturing overhead $135,000 Estimated manufacturing overhead $130,500 Direct labor hours incurred 4,800 Direct labor hours estimated 5,000 Compute the predetermined overhead rate. (Round answer to 2 decimal places, e.g. 15.25.) Predetermined overhead rate $ per direct labor hour Texth
d. Assume that the actual level of activity next year was 36,000 direct labor hours and that manufactur- ing overhead was $341,550. Determine the underapplied or overapplied manufacturing overhead at the end of the year. e. Describe two ways of handling any underapplied or overapplied manufacturing overhead at the end of the year. e. Describe two ways of handling any underapplied or overapplied manufacturing overhead at the end of the year.
Reynolds Manufacturers Inc. has estimated total factory overhead costs of $113,400 and expected direct labor hours of 12,600 for the current fiscal year. If Job 117 incurs 1,460 direct labor hours, Work in Process will be debited and Factory Overhead will be credited for a. $13,140 b. $56,700 c. $113,400 d. $1,460
Crosshill Company's total overhead costs at various levels of activity are presented below: Month Machine- Hours Total Overhead Cost April 70,000 $ 202,200 May 60,000 $ 180,300 June 80,000 $ 224,100 July 90,000 $ 246,000 Assume that the overhead cost above consists of utilities, supervisory salaries, and maintenance. The breakdown of these costs at the 60,000-machine-hour level of activity in May is as follows: Utilities (variable) $ 52,200 Supervisory salaries (fixed) 21,000 Maintenance (mixed) 107,100 Total overhead cost $ 180,300 The company wants to break down the maintenance cost into its variable and fixed cost elements. Required: 1. Estimate how much of the $246,000 of overhead cost in July was maintenance cost. (Hint: To do this, first determine how much of the $246,000 consisted of utilities and supervisory salaries. Think about the behaviour of variable and fixed costs within the relevant range.) (Round the "Variable cost per unit" to 2 decimal places.) 2. Using the high-low…
BFAR Company used a predetermined overhead rate last year of P2 per direct labor hour, based on an estimate of 87,500 direct labor hours to be worked during the year. Actual costs and activity during the year were: Actual manufacturing overhead cost incurred ........... P176,500 Actual direct labor hours worked ........... 90,000 Compute the under- or overapplied overhead. Encode the value as is if underapplied. Encode the answer as a negative amount if overapplied.
Total Cost FormulaDavis Company has analyzed its overhead costs and derived a general formula for their behavior: $55,000 + $14 per direct labor hour employed. The company expects to use 50,000 direct labor hours during the next accounting period. What overhead rate per direct labor hour should be applied to jobs worked during the period? Round answer to two decimal places. Overhead rate per direct labor hour $_________
The chief cost accountant for Voltaire Beverage Co. estimated that total factory overhead cost for the Blending Department for the coming fiscal year beginning May 1 would be $2,340,000 and total direct labor costs would be $1,800,000. During May, the actual direct labor cost totaled $145,000 and factory overhead cost incurred totaled $192,100. Question Content Area a. What is the predetermined factory overhead rate based on direct labor cost? Enter your answer as a whole percent not in decimals. fill in the blank 1772e2fb3039fb1_1 % Question Content Area b. Journalize the entry to apply factory overhead to production for May. If an amount box does not require an entry, leave it blank. blank - Select - - Select - - Select - - Select - Question Content Area c. What is the May 31 balance of the account Factory Overhead—Blending Department? Amount: $fill in the blank 1ea1070e903a021_1 Debit or Credit? d. Does the balance in part (c) represent overapplied or underapplied factory…