Q.No. 23 (Financial Accounting) Merger Manufacturing uses direct labor cost as the allocation base for applying MOH to WIP. The budgeted direct labor cost for the year was $1,100,000. The budgeted manufacturing overhead was $930,000. The actual direct labor cost for the year was $1,300,000. The actual manufacturing overhead was $955,000. A. What was Merger's predetermined manufacturing overhead rate per direct labor dollars? B. How much MOH was applied to WIP during the year?
Q.No. 23 (Financial Accounting) Merger Manufacturing uses direct labor cost as the allocation base for applying MOH to WIP. The budgeted direct labor cost for the year was $1,100,000. The budgeted manufacturing overhead was $930,000. The actual direct labor cost for the year was $1,300,000. The actual manufacturing overhead was $955,000. A. What was Merger's predetermined manufacturing overhead rate per direct labor dollars? B. How much MOH was applied to WIP during the year?
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter10: Evaluating Decentralized Operations
Section: Chapter Questions
Problem 5E: Service department charges In divisional income statements prepared for Demopolis Company, the...
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23 financial Accounting

Transcribed Image Text:Q.No. 23 (Financial Accounting)
Merger Manufacturing uses direct labor cost as the allocation base for
applying MOH to WIP. The budgeted direct labor cost for the year was
$1,100,000. The budgeted manufacturing overhead was $930,000. The actual
direct labor cost for the year was $1,300,000. The actual manufacturing
overhead was $955,000.
A. What was Merger's predetermined manufacturing overhead rate per
direct labor dollars?
B. How much MOH was applied to WIP during the year?
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