Manufacturing overhead was estimated to be OMR 415,000 for the year along withestimated 20,000 direct labor hours. Actual manufacturing overhead was OMR400,000, and actual labor hours were 21,000. The amount debited to theManufacturing Overhead account would be:O a.OMR 435,750.O b. OMR 415,000.O c. None of the given answer is correctO d. OMR420,000.O e.OMR 400,000.A Company uses job order costing and has chosen direct labor hours to allocate itsmanufacturing overhead. The company estimates that total direct labor hours to beoperated next year are 250,000 hours. The estimated variable overhead is $15 perhour and the estimated fixed overhead costs are $750,000. The predeterminedoverhead rate is:

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Manufacturing overhead was ebtimated to be OMR 415,000 for the year along with estimated 20,000 direct labor hours. Actual manufacturing overhead was OMR 400,000, and actual labor hours were 21,000. The amount debited to the Manufacturing Overhead account would be: O a. OMR 435,750. O b. OMR 415,000. O c. None of the given answer is correct O d. OMR 420,000. O e. OMR400,000.

Manufacturing overhead was ebtimated to be OMR 415,000 for the year along with estimated 20,000 direct labor hours. Actual manufacturing overhead was OMR 400,000, and actual labor hours were 21,000. The amount debited to the Manufacturing Overhead account would be: O a. OMR 435,750. O b. OMR 415,000. O c. None of the given answer is correct O d. OMR 420,000. O e. OMR400,000.

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

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Concept explainers

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.

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Question

Manufacturing overhead was estimated to be OMR 415,000 for the year along with
estimated 20,000 direct labor hours. Actual manufacturing overhead was OMR
400,000, and actual labor hours were 21,000. The amount debited to the
Manufacturing Overhead account would be:
O a.
OMR 435,750.
O b. OMR 415,000.
O c. None of the given answer is correct
O d. OMR420,000.
O e.
OMR 400,000.
A Company uses job order costing and has chosen direct labor hours to allocate its
manufacturing overhead. The company estimates that total direct labor hours to be
operated next year are 250,000 hours. The estimated variable overhead is $15 per
hour and the estimated fixed overhead costs are $750,000. The predetermined
overhead rate is:

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