FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Electric Car Company listed the following data for the current year:
Budgeted factory overhead
Budgeted direct labor hours
Budgeted machine hours
Actual factory overhead
Actual labor hours
Actual machine hours
$ 1,134,000
70,000
25,000
1,100,900
71,100
24,000
If overhead is applied based on machine hours, the overapplied/underapplied overhead is:
Multiple Choice
○ $12,260 underapplied.
$12,260 overapplied.
$15,370 overapplied.
$15,370 underapplied.
О
○ $0.
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Transcribed Image Text:Electric Car Company listed the following data for the current year: Budgeted factory overhead Budgeted direct labor hours Budgeted machine hours Actual factory overhead Actual labor hours Actual machine hours $ 1,134,000 70,000 25,000 1,100,900 71,100 24,000 If overhead is applied based on machine hours, the overapplied/underapplied overhead is: Multiple Choice ○ $12,260 underapplied. $12,260 overapplied. $15,370 overapplied. $15,370 underapplied. О ○ $0.
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