Gratis Company Ltd applies overhead based on direct labour hours in their printing department. At the beginning of the year, the company estimated that manufacturing overhead would be $550 000, direct labour hours would be 100 000 and direct labour cost would be $1 100 000 in the printing department. What is the

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Please answer all the three questions of choice questions. I need help from expert. Correct answer
Gratis Company Ltd applies overhead
based on direct labour hours in their
printing department. At the beginning of the
year, the company estimated that
manufacturing overhead would be $550
000, direct labour hours would be 100 000
and direct labour cost would be $1 100 000
in the printing department. What is the
printing department's predetermined
overhead rate for the year? Select one:
a. $2.00 per direct labour hour
O b. $0.18 per direct labour hour
O c. $5.50 per direct labour hour
O d. $0.50 per direct labour hour
Transcribed Image Text:Gratis Company Ltd applies overhead based on direct labour hours in their printing department. At the beginning of the year, the company estimated that manufacturing overhead would be $550 000, direct labour hours would be 100 000 and direct labour cost would be $1 100 000 in the printing department. What is the printing department's predetermined overhead rate for the year? Select one: a. $2.00 per direct labour hour O b. $0.18 per direct labour hour O c. $5.50 per direct labour hour O d. $0.50 per direct labour hour
Barrett Industries began the month of June
with a finished goods inventory of $15 000.
The finished goods inventory at the end of
June was $10 000 and the cost of goods
sold during the month was $20 000. The
cost of goods manufactured during the
month of June was:
O a. $20,000
b. $15,000
O c. $5,000
O d. $25,000
Brainpower Pty Ltd is an advertising agency
that uses a job costing system. Brainpower
applies overhead to jobs based on direct
professional labour hours. At the beginning
of the year, overhead was estimated to be
$75 000, direct professional labour hours
were estimated to be 15 000, and direct
professional labour cost was projected to
be $225 000. During the year, Brainpower
incurred an actual overhead of $80 000,
actual direct labour hours of 14 500 and
actual direct labour cost of $222 000. What
was Brainpower's overapplied or
underapplied overhead during the year?
O a. $7,500 underapplied
O b. $5,000 underapplied
O c. $5,000 overapplied
O d. $7,500 overapplied
Transcribed Image Text:Barrett Industries began the month of June with a finished goods inventory of $15 000. The finished goods inventory at the end of June was $10 000 and the cost of goods sold during the month was $20 000. The cost of goods manufactured during the month of June was: O a. $20,000 b. $15,000 O c. $5,000 O d. $25,000 Brainpower Pty Ltd is an advertising agency that uses a job costing system. Brainpower applies overhead to jobs based on direct professional labour hours. At the beginning of the year, overhead was estimated to be $75 000, direct professional labour hours were estimated to be 15 000, and direct professional labour cost was projected to be $225 000. During the year, Brainpower incurred an actual overhead of $80 000, actual direct labour hours of 14 500 and actual direct labour cost of $222 000. What was Brainpower's overapplied or underapplied overhead during the year? O a. $7,500 underapplied O b. $5,000 underapplied O c. $5,000 overapplied O d. $7,500 overapplied
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