At the beginning of the year, a company estimated that 20,000 direct labor-hours would be required for the period's estimated level of production. The company also estimated $140,000 of fixed manufacturing overhead cost for the coming period and variable manufacturing overhead of $1.50 per direct labor-hour. The company incurred actual manufacturing overhead costs of $180,000 and it actually worked 20,000 direct labor-hours during the period. Assume that Job X used 16 direct labor-hours. How much manufacturing overhead would be applied to Job X? Multiple Choice $166 $154 $136

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter4: Job Order Costing
Section: Chapter Questions
Problem 11PA: When setting its predetermined overhead application race, Tasty Box Meals estimated its overhead...
icon
Related questions
Question
Don't provide answers in image format
At the beginning of the year, a company estimated that 20,000 direct labor-hours would be required for the
period's estimated level of production. The company also estimated $140,000 of fixed manufacturing overhead
cost for the coming period and variable manufacturing overhead of $1.50 per direct labor-hour. The company
incurred actual manufacturing overhead costs of $180,000 and it actually worked 20,000 direct labor-hours
during the period.
Assume that Job X used 16 direct labor-hours. How much manufacturing overhead would be applied to Job X?
Multiple Choice
C
$166
$154
$136
Transcribed Image Text:At the beginning of the year, a company estimated that 20,000 direct labor-hours would be required for the period's estimated level of production. The company also estimated $140,000 of fixed manufacturing overhead cost for the coming period and variable manufacturing overhead of $1.50 per direct labor-hour. The company incurred actual manufacturing overhead costs of $180,000 and it actually worked 20,000 direct labor-hours during the period. Assume that Job X used 16 direct labor-hours. How much manufacturing overhead would be applied to Job X? Multiple Choice C $166 $154 $136
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps

Blurred answer
Knowledge Booster
Capital Budgeting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Principles of Accounting Volume 2
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Managerial Accounting
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
Cornerstones of Cost Management (Cornerstones Ser…
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Cost Accounting
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning
Managerial Accounting: The Cornerstone of Busines…
Managerial Accounting: The Cornerstone of Busines…
Accounting
ISBN:
9781337115773
Author:
Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:
Cengage Learning