FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Care Company uses job costing and has assembled the following cost data for the production and assembly of item X:
(Click the icon to view the cost data.)
Based on the above cost data, the manufacturing overhead for item X is
A. $1,590 underallocated.
B. $350 overallocated.
C. $350 underallocated.
D. $1,590 overallocated.
Cost Data
Direct manufacturing labor wages
Direct material used
Indirect manufacturing labor
Utilities
Fire insurance
Manufacturing overhead applied
Indirect materials
Depreciation on equipment
$
36,000
100,000
3,800
450
490
10,000
6,500
350
X
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Transcribed Image Text:Care Company uses job costing and has assembled the following cost data for the production and assembly of item X: (Click the icon to view the cost data.) Based on the above cost data, the manufacturing overhead for item X is A. $1,590 underallocated. B. $350 overallocated. C. $350 underallocated. D. $1,590 overallocated. Cost Data Direct manufacturing labor wages Direct material used Indirect manufacturing labor Utilities Fire insurance Manufacturing overhead applied Indirect materials Depreciation on equipment $ 36,000 100,000 3,800 450 490 10,000 6,500 350 X
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