A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that factory overhead costs would be $355,200 and direct labor hours would be 48,200. Actual manufacturing overhead costs incurred were $307,700, and actual direct labor hours were 51,900. What is the predetermined overhead rate per direct labor hour? a. $7.37 Ob. $8.84 Oc. $11.05 Od. $5.90

A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that factory overhead costs would be $355,200 and direct labor hours would be 48,200. Actual manufacturing overhead costs incurred were $307,700, and actual direct labor hours were 51,900. What is the predetermined overhead rate per direct labor hour? a. $7.37 Ob. $8.84 Oc. $11.05 Od. $5.90

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Reynolds Manufacturers Inc. has estimated total factory overhead costs of $88,800 and expected direct labor hours of 11,100 for the current fiscal year. If job number 117 incurs 2,000 direct labor hours, Work in Process will be debited and Factory Overhead will be credited for Oa. $88,800 b. $2,000 Oc. $44,400 Od. $16,000
Job XXX required 260 direct labour hours of which 220 hours were incurred during the current accounting period. The predetermined overhead cost rate is £7.50 per direct labour hour. How much overhead should be applied to Job XXX during the current accounting period? a. £1,650 b. £366 c. £1,950 d. £915
Reynolds Manufacturers Inc. has estimated total factory overhead costs of $141,600 and expected direct labor hours of 11,800 for the current fiscal year. If Job 117 incurs 1,560 direct labor hours, Work in Process will be debited and Factory Overhead will be credited for a.$18,720 b.$1,560 c.$141,600 d.$70,800
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 credited to the Manufacturing Overhead account would be: a. OMR 420,00O. O b. OMR 435,750. C. OMR 400,000. O d. None of the given answer is correct O e. OMR 415,000.
The following information was gathered for the Greensprings Corporation for the most recent year. Manufacturing overhead is allocated using machine hours, Actual machine hours Allocated manufacturing overhead. Estimated manufacturing overhead costs Actual manufacturing overhead costs By how much is manufacturing overhead over or underallocated? A. $82,000 overallocated B. $82,000 underallocated OC. $8,000 underallocated OD. $8,000 overallocated 139,000 $1,130,000 $1,056,000 $1,138,000
Sterner Company computes its predetermined overhead application rate using direct labor hours as the activity base. Estimated and actual overhead costs and direct labor hours for the year were as follows:Estimated ActualManufacturing overhead costs . . . . . . . . . . . . $126,000 $118,020Direct labor hours . . . . . . . . . . . . . . . . . . . . . . 10,000 9,200Based on this information, manufacturing overhead wasa. underapplied by $2,100.b. underapplied by $3,420.c. overapplied by $3,420.d. overapplied by $5,580.e. none of the above.
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Reynolds Manufacturers Inc. has estimated total factory overhead costs of $105,300 and expected direct labor hours of 11,700 for the current fiscal year. If job number 117 incurs 1,410 direct labor hours, Work in Process will be debited and Factory Overhead will be credit for Oa. $52,650 Ob. $1,410 Oc. $105,300 Od. $12,690
Subject : Accounting
Applying Factory Overhead Jernigan Company estimates that total factory overhead costs will be $378,000 for the year. Direct labor hours are estimated to be 27,000. a. For Jernigan Company, determine the predetermined factory overhead rate using direct labor hours as the activity base. If required, round your answer to two decimal places.$fill in the blank fb95c2fa601df9b_1 per direct labor hour b. During August, Jernigan Company accumulated 550 hours of direct labor costs on Job 40 and 520 hours on Job 42. Determine the amount of factory overhead applied to Jobs 40 and 42 in August.$fill in the blank fb95c2fa601df9b_2 c. Prepare the journal entry to apply factory overhead to both jobs in August according to the predetermined overhead rate.
A company absorbs factory overheads at a rate of N$25 per direct labour. At the beginning of the year the company estimated that the direct labour hours were 10000 hours. During the year the actual direct rate labour hours and actual manufacturing overheads costs incurred were 12000 hours and N$350000 respectively. The under/over factory overheads cost the period was?