Chicago Manufacturing uses a job order cost system and applies overhead based on estimated rates. The company's total estimated overhead costs for the year are $480,000, and the estimated direct labor hours are 24,000. During March 2023, actual direct labor hours worked totaled 19,500. Determine the amount of factory overhead applied in March.

Chicago Manufacturing uses a job order cost system and applies overhead based on estimated rates. The company's total estimated overhead costs for the year are $480,000, and the estimated direct labor hours are 24,000. During March 2023, actual direct labor hours worked totaled 19,500. Determine the amount of factory overhead applied in March.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter3: Process Cost Systems

Section: Chapter Questions

Problem 4E: The cost accountant for River Rock Beverage Co. estimated that total factory overhead cost for the...

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