How much is the over/underapplied FOH? Indicate whether over/underapplied. Ex. 123456 Overapplied or 123456 Underapplied A company manufactures plastic products for the home and restaurant market. The company also does contract work for other customers and utilizes a job order costing system. The flexible budget covering next years' expected range of activity is: 110,000 88,000 P100,000 P160,000 P220,000 150,000 P250,000 P310,000 P370,000 A predetermined overhead rate is based on direct to apply total overhead. Management has estimated that 100,000 direct labor hours will be used next year. At the end of the year, actual direct labor hours for the year were 112,375 hours and the actual manufacturing overhead for the 50,000 40,000 Direct Labor Hours 80,000 64,000 Machine Hours Variable OH Costs Fixed OH Costs Total OH Costs 150,000 150,000 labor hours is used year was P412,525. Your answer

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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How much is the over/underapplied FOH? Indicate whether
over/underapplied. Ex. 123456 Overapplied or 123456
Underapplied
A company manufactures plastic products for the
home and restaurant market.
The company also
does contract work for other customers and utilizes a
job order costing system.
The flexible budget
covering next years' expected range of activity is:
110,000
88,000
P100,000 P160,000 P220,000
150,000
P250,000 P310,000 P370,000
A predetermined overhead rate is based on direct
to apply total overhead.
Management has estimated that 100,000 direct labor
hours will be used next year. At the end of the year,
actual direct labor hours for the year were 112,375
hours and the actual manufacturing overhead for the
50,000
40,000
Direct Labor Hours
80,000
64,000
Machine Hours
Variable OH Costs
Fixed OH Costs
150,000
150,000
Total OH Costs
labor hours is used
year was P412,525.
Your answer
Transcribed Image Text:How much is the over/underapplied FOH? Indicate whether over/underapplied. Ex. 123456 Overapplied or 123456 Underapplied A company manufactures plastic products for the home and restaurant market. The company also does contract work for other customers and utilizes a job order costing system. The flexible budget covering next years' expected range of activity is: 110,000 88,000 P100,000 P160,000 P220,000 150,000 P250,000 P310,000 P370,000 A predetermined overhead rate is based on direct to apply total overhead. Management has estimated that 100,000 direct labor hours will be used next year. At the end of the year, actual direct labor hours for the year were 112,375 hours and the actual manufacturing overhead for the 50,000 40,000 Direct Labor Hours 80,000 64,000 Machine Hours Variable OH Costs Fixed OH Costs 150,000 150,000 Total OH Costs labor hours is used year was P412,525. Your answer
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