Required information[The following information applies to the questionsdisplayed below.]The following information is available for ADT Company,which produces special-order security products and usesa job order costing system. Overhead is applied using apredetermined overhead rate of 55% of direct labor cost.Beginning ofperiod$ 50,0009,10060,000End ofInventoriesPeriodRaw materials$ 50,000Work in processFinished goods19,70034,800Cost incurred for the periodRaw materials purchasesFactory payrollFactory overhead (actual)$ 178,000300,00017,00069,000101,000Indirect materials usedIndirect labor usedOther overhead costs1. Incurred other actual overhead costs (all paid in Cash).2. Applied overhead to work in process.

Solution: Actual overhead Overhead is recorded by debited Factory overhead. Also overhead is applied…

Answered: Cost incurred for the period Raw…

Cost incurred for the period Raw materials purchases Factory payroll Factory overhead (actual) Indirect materials used $ 178,000 300,000 17,000 69,000 101,000 Indirect labor used Other overhead costs

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 8MC: A company calculated the predetermined overhead based on an estimated overhead of $70.000, and the...

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