Fast & Furious Company produces two products: toy planes and toy race cars. It uses departmental overhead rates for the two production departments: Molding and 1 more notification Finishing uses direct labor hours. 50,000 planes and 250,000 race cars are produced. Fast & Furious has prepared the following data: Estimated overhead Actual overhead Expected direct labor hours: Planes Race cars Expected machine hours: Planes Race cars Actual direct labor hours: Planes Race cars Actual machine hours: Planes Race cars Molding $250,000 Total $350,000 $240,000 $120,000 $360,000 5,000 5,000 17,000 3,000 4,500 5,500 16,500 3,200 Finishing $100,000 How much overhead is applied to the planes? Oa. $225,000 Ob. $192,500 O $60.000 5,000 35,000 3,000 7,000 5,500 34,500 3,500 6,800 10,000 40,000 20,000 10,000 10,000 40,000 20,000 10,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Fast & Furious Company produces two products: toy planes and toy race cars. It uses departmental overhead rates for the two production departments: Molding and 1 more notification
Finishing uses direct labor hours. 50,000 planes and 250,000 race cars are produced. Fast & Furious has prepared the following data:
Estimated overhead
Actual overhead
Expected direct labor hours:
Planes
Race cars
Expected machine hours:
Planes
Race cars
Actual direct labor hours:
Planes
Race cars
Actual machine hours:
Planes
Race cars
Molding
$250,000
$240,000
5,000
5,000
17,000
3,000
4,500
5,500
16,500
3,200
How much overhead is applied to the planes?
Oa. $225,000
Ob. $192,500
Oc. $60,000
Od. $250,000
Finishing Total
$100,000 $350,000
$120,000 $360,000
5,000
35,000
3,000
7,000
5,500
34,500
3,500
6,800
10,000
40,000
20,000
10,000
10,000
40,000
20,000
10,000
Transcribed Image Text:Fast & Furious Company produces two products: toy planes and toy race cars. It uses departmental overhead rates for the two production departments: Molding and 1 more notification Finishing uses direct labor hours. 50,000 planes and 250,000 race cars are produced. Fast & Furious has prepared the following data: Estimated overhead Actual overhead Expected direct labor hours: Planes Race cars Expected machine hours: Planes Race cars Actual direct labor hours: Planes Race cars Actual machine hours: Planes Race cars Molding $250,000 $240,000 5,000 5,000 17,000 3,000 4,500 5,500 16,500 3,200 How much overhead is applied to the planes? Oa. $225,000 Ob. $192,500 Oc. $60,000 Od. $250,000 Finishing Total $100,000 $350,000 $120,000 $360,000 5,000 35,000 3,000 7,000 5,500 34,500 3,500 6,800 10,000 40,000 20,000 10,000 10,000 40,000 20,000 10,000
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