Taylor Company uses normal job costing. It allocates manufacturing overhead costs using a budgeted rate per machine-hour. The following data are available for 2017: Budgeted manufacturing overhead costs $3,800,000 Budgeted machine-hours 200,000 Actual manufacturing overhead costs $3,660,000 Actual machine-hours 196,000 1. Show two T-accounts, MOHA and MOHC. In the MOHA T-account, show the calculation of allocated OH. ( please show all t-accounts calculation). 2. During the accounting period, the company allocates OH to each job. Write the journal entry to show the allocation of OH. 3. At the end of the accounting period, the company closes the MOHA and MOHC T-accounts, and adjusts COGS. Write this journal entry. 4. Is the allocated OH over-or under-allocated?
Taylor Company uses normal
Budgeted manufacturing overhead costs $3,800,000
Budgeted machine-hours 200,000
Actual manufacturing overhead costs $3,660,000
Actual machine-hours 196,000
1. Show two T-accounts, MOHA and MOHC. In the MOHA T-account, show the calculation of allocated OH. ( please show all t-accounts calculation).
2. During the accounting period, the company allocates OH to each job. Write the
3. At the end of the accounting period, the company closes the MOHA and MOHC T-accounts, and adjusts COGS. Write this journal entry.
4. Is the allocated OH over-or under-allocated?
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