Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials $ 66,000 Work in $ 33,600 $ 38,400 process. Finished goods The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $13.50 per direct labor-hour was based on a cost formula that estimated $540,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor- hours. The following transactions were recorded for the year: a. Raw materials were purchased on account, $684,000. b. Raw materials used in production, $646,400. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $490,000; indirect labor, $150,000; selling and administrative salaries, $319,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods warehousing), $423,000. e. Incurred various manufacturing overhead costs (e.g., depreciation, insurance, and utilities), $390,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. g. Jobs costing $1,623,300 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $3,547,500. The jobs cost $1,633,300 to manufacture according to their job cost sheets. 4. What is the total amount of manufacturing overhead applied to production during the year? Manufacturing overhead applied

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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[The following information applies to the questions displayed below.]
Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory
balances were as follows:
Raw materials $ 66,000
Work in
$ 33,600
$ 38,400
process
Finished
goods
The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the
company's predetermined overhead rate of $13.50 per direct labor-hour was based on a cost formula that
estimated $540,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-
hours. The following transactions were recorded for the year:
a. Raw materials were purchased on account, $684,000.
b. Raw materials used in production, $646,400. All of of the raw materials were used as direct materials.
c. The following costs were accrued for employee services: direct labor, $490,000; indirect labor, $150,000;
selling and administrative salaries, $319,000.
d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished
goods warehousing), $423,000.
e. Incurred various manufacturing overhead costs (e.g., depreciation, insurance, and utilities), $390,000.
f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct
labor-hours on all jobs during the year.
g. Jobs costing $1,623,300 to manufacture according to their job cost sheets were completed during the
year.
h. Jobs were sold on account to customers during the year for a total of $3,547,500. The jobs cost
$1,633,300 to manufacture according to their job cost sheets.
4. What is the total amount of manufacturing overhead applied to production during the year?
Manufacturing overhead
applied
Transcribed Image Text:Required information [The following information applies to the questions displayed below.] Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials $ 66,000 Work in $ 33,600 $ 38,400 process Finished goods The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $13.50 per direct labor-hour was based on a cost formula that estimated $540,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor- hours. The following transactions were recorded for the year: a. Raw materials were purchased on account, $684,000. b. Raw materials used in production, $646,400. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $490,000; indirect labor, $150,000; selling and administrative salaries, $319,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods warehousing), $423,000. e. Incurred various manufacturing overhead costs (e.g., depreciation, insurance, and utilities), $390,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. g. Jobs costing $1,623,300 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $3,547,500. The jobs cost $1,633,300 to manufacture according to their job cost sheets. 4. What is the total amount of manufacturing overhead applied to production during the year? Manufacturing overhead applied
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