Nonr The Anderson Company forecasts that total overhead for the current year will be$15,000,000 and total machine hours will be 200,000 hours. However, the actualoverhead is $8,000,000 and the actual machine hours are 100,000 hours. If thecompany uses a predetermined overhead rate based on machine hours forapplying overhead, what is predetermined overhead rate?Select one:a. $80 per machine hourb. $150 per machine hourc. $75 per machine hourd. $40 per machine hour

Step 1: Definition of Manufacturing Overhead:Manufacturing overhead, as used in cost accounting,…

Answered: The Anderson Company forecasts that…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 7EB: A company estimates its manufacturing overhead will be $840,000 for the next year. What is the...

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If a company bases its predetermined overhead rate on 100,000 machine hours, and It actually has 100,000 machine hours, would there be an under applied or over applied overhead?
Crystal Pools estimates overhead will utilize 250,000 machine hours and cost $750,000. It takes 2 machine hours per unit, direct material cost of $14 per unit, and direct labor of $20 per unit. What is the cost of each unit produced?
Bobcat uses a traditional cost system and estimates next years overhead will be $800.000, as driven by the estimated 25,000 direct labor hours. It manufactures three products and estimates the following costs: If the labor rate is $30 per hour, what is the per-unit cost of each product?
Colonels uses a traditional cost system and estimates next years overhead will be $480,000, with the estimated cost driver of 240,000 direct labor hours. It manufactures three products and estimates these costs: If the labor rate is $25 per hour, what is the per-unit cost of each product?
A company estimates its manufacturing overhead will be $840,000 for the next year. What is the predetermined overhead rate given each of the following Independent allocation bases? Budgeted direct labor hours: 90,615 Budgeted direct labor expense: $750000 Estimated machine hours: 150,000
Assume that the inspection activity has an expected cost of 120,000. Expected direct labor hours are 3,000, and expected number of inspections is 600. The best activity rate for inspection is as follows: a. 40 per inspection b. 40 per hour c. 200 per inspection d. 200 per hour
Patterson Corporation expects to incur 70,000 of factory overhead and 60,000 of general and administrative costs next year. Direct labor costs at 5 per hour are expected to total 50,000. If factory overhead is to be applied per direct labor hour, how much overhead will be applied to a job incurring 20 hours of direct labor? a. 120 b. 260 c. 28 d. 140
What is predetermined overhead rate?
provide answer please
Overhead is calculated by Amanzi Company based on Direct Labor hours. Amanzi forecasts Overhead to be R700 000, Machine hours to be R200 000, and Direct labour hours to be R35000 at the start of the year. Amanzi has 5000 direct labour hours and 10,000 machine hours each year. What is the rate of predetermined overhead? a. R15.00 per hour per machine b. R14.00 per hour of direct labour c. R20.00 per hour of direct work d. R18.00 per hour per machine g. None of them are valid options.
Need answer
Jeremy Inc. forecasts that total overhead for the current year will be $1,050,000 with 700,000 total machine hours. Year to date, the actual overhead is $1,200,000 and the actual machine hours are 850,000 hours. The company uses a predetermined overhead rate based on machine hours for applying overhead. As of this point in time (year to date), what is the amount of overhead? Group of answer choices $75,000 over-allocated $150,000 under-allocated $75,000 under-allocated $150,000 over-allocated

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