Kelsie Corporation is using a predetermined overhead rate that was based on estimatedtotal fixed manufacturing overhead of $510,000 and 30,000 machine-hours for theperiod. The company incurred actual total fixed manufacturing overhead of $517,000 and27,000 total machine-hours during the period. The amount of manufacturing overheadthat would have been applied to all jobs during the period is closest to:Select one:O a. $459,000O b. $574,444O c. $17Od. $19.15

Step 1:Computation of the predetermined overhead rate: Predetermined OH rate = Estimated total fixed…

Answered: Kelsie Corporation is using a…

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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Two years ago, the State Department of Economic Development created the Business Services Group to provide special services to out-of-state businesses that were considering relocating in the state. Another key task of the group was to help those businesses who had recently relocated get settled and operating as quickly as possible. In that two-year period, the Business Services Group put together a good record of helping more than 35 businesses move into the state efficiently. The Business Services Group was staffed with a complement of a department manager and 5 Business Development specialists, along with some secretarial and clerical support. The job of the Business Development specialists consisted principally of contacting and working with appropriate personnel in each business to identify the kinds of information or help they needed, then making sure that the correct assistance arrived. The specialists also served as "trouble shooters" for the business whenever there were…
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