Crich Corporation uses direct labor-hours in its predetermined overhead rate. At the beginning of the year, the estimated directlabor-hours were 21,900 hours and the total estimated manufacturing overhead was $521,220. At the end of the year, actual directlabor-hours for the year were 21,750 hours and the actual manufacturing overhead for the year was $521,220. Overhead at the endof the year was: (Do not round intermediate calculations.)Multiple Choice$3,620 overapplied$3,620 underapplied$3,570 overapplied$3,570 underapplied

Overhead costs are those expenses that must be incurred in order to run a firm but cannot be clearly…

Answered: Crich Corporation uses direct…

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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Osborn Manufacturing uses a predetermined overhead rate of $19.70 per direct labor-hour. This predetermined rate was based on a cost formula that estimates $265,950 of total manufacturing overhead for an estimated activity level of 13,500 direct labor-hours. The company actually incurred $260,000 of manufacturing overhead and 13,000 direct labor-hours during the period. Can you please help me with the following: Determine the amount of underapplied or overapplied manufacturing overhead for the period, then assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Would the journal entry to dispose of the underapplied or overapplied overhead increase or decrease the company’s gross margin? By how much?
GFOQKV276 Corporation applies manufacturing overhead on the basis of direct labor-hours. GFOQKV276 based its predetermined overhead rate for the upcoming year on total estimated overhead of $242,100 and 7,100 estimated direct labor-hours. (ID#90232) At the end of the year, GFOQKV276's actual manufacturing overhead for the year amounted to $243,600 and actual direct labor-hours were 5,400. (Baruch College Exam) Q) What was GFOQKV276's overhead for the year? (Round your intermediate calculations to 2 decimal places.) Multiple Choice O O O O $57,960 underapplied $57,960 overapplied $59,460 underapplied $59,460 overapplied
Adams Manufacturing allocates overhead to production on the basis of direct labor costs. At the beginning of the year, Adams estimated total overhead of $421,800; materials of $412,000 and direct labor of $222,000. During the year Adams incurred $444,600 in materials costs, $439,600 in overhead costs and $226,000 in direct labor costs. Compute the amount of under- or overapplied overhead for the year.
Osborn Manufacturing uses a predetermined overhead rate of $18.50 per direct labor-hour. This predetermined rate was based on a cost formula that estimates $227,550 of total manufacturing overhead for an estimated activity level of 12,300 direct labor-hours. The company actually incurred $221,000 of manufacturing overhead and 11,800 direct labor-hours during the period. Required: 1. Determine the amount of underapplied or overapplied manufacturing overhead for the period. 2. Assume that the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Would the journal entry to dispose of the underapplied or overapplied overhead increase or decrease the company's gross margin? By how much? 1. Manufacturing overhead 2. The gross margin would by by
Sandler Corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. Data for the upcoming year appear below: Estimated machine hours 73,000 Estimated variable manufacturing overhead 3.49 per machine hour Estimated total fixed manufacturinf overhead 838,770 Required: Compute the company's predetermined overhead rate.
Caple Corporation applies manufacturing overhead on the basis of machine-hours. At the beginning of the most recent year, the company based its predetermined overhead rate on total estimated overhead of $16,660. Actual manufacturing overhead for the year amounted to $25,000 and actual machine-hours were 1,460. The company's predetermined overhead rate for the year was $11.90 per machine-hour. The predetermined overhead rate was based on how many estimated machine-hours? Question 19 options: 1,400 2,101 2,742 1,460
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 $348,700 and direct labor hours would be 41,800. Actual manufacturing overhead costs incurred were $317,200, and actual direct labor hours were 50,100. The journal entry to apply the factory overhead costs for the year would include a a.debit to Factory Overhead for $317,200 b.credit to Factory Overhead for $417,834 c.debit to Factory Overhead for $417,834 d.credit to Factory Overhead for $348,700
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 $624,600 and direct labor hours would be 34,700. Actual manufacturing overhead costs incurred were $429,400, and actual direct labor hours were 22,600. The entry to apply the factory overhead costs for the year would include a
Daget Corporation uses direct labor-hours in its predetermined overhead rate. At the beginning of the year, the total estimated manufacturing overhead was $364,980. At the end of the year, actual direct labor-hours for the year were 24,000 hours, manufacturing overhead for the year was overapplied by $8,900, and the actual manufacturing overhead was $361,660. The predetermined overhead rate for the year must have been closest to: Multiple Choice $15.21 per direct labor-hour $15.57 per direct labor-hour $15.07 per direct labor-hour O $15.44 per direct labor-hour
Crich Corporation uses direct labor-hours in its predetermined overhead rate. At the beginning of the year, the estimated direct labor-hours were 22,040 hours and the total estimated manufacturing overhead was $555,408. At the end of the year, actual direct labor-hours for the year were 21,700 hours and the actual manufacturing overhead for the year was $538.222. Overhead at the end of the year was: (Do not round intermediate calculations.) Multiple Choice O $8,618 overapplied $8,568 overapplied $8,618 underapplied $8,568 underapplied
Before the year began, Brookville Manufacturing estimated that manufacturing overhead for the year would be $176,400 and that 13,300 direct labor hours would be worked. Actual results for the year included the following: Actual manufacturing overhead cost Actual direct labor hours $184,400 14,500 The amount of manufacturing overhead allocated for the year based on direct labor hours would have been ? (Round intermediary calculations to the nearest cent and final answer to the nearest dollar.) A. $176,400. B. $192,270. C. $184,400. OD. $169,139.
Manufacturing overhead was estimated to be OMR 200,000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was OMR 215,000, and actual labor hours were 21,000. Which of the following would be correct? Overhead is underapplied by OMR 15,000. a. O b. None of the given answer is correct Overhead is underapplied by OMR 5,000. O c. O d. Overhead is overapplied by OMR 5.00O. De. Overhead is overapplied by OMR 15.000. NEXT DAGE

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