28) A company's predetermined overhead rate is applied at 75% of direct labor cost. How...
60.1K
Verified Solution
Link Copied!
Question
Accounting
28) A company's predetermined overhead rate is applied at 75% of direct labor cost. How much overhead would be allocated to Job No. XYZ if it incurred total direct labor costs of $170,000?
29) Based on the following calendar year information:
Advertising expense
$ 38,800
Depreciation of factory equipment
43,000
Depreciation of office equipment..
10,800
Direct labor.
150,600
Factory utilities...............
45,650
Rent on factory building
51,400
Indirect labor.
30,750
Sales commissions..
66,500
Interest expense.............
3,650
Inventories, January 1:
Raw materials.
104,450
Work in Process
87,250
Finished goods............
95,600
Inventories, December 31:
Raw materials..
82,300
Work in Process.
60,700
Finished goods.
101,050
Raw materials purchases..
332,450
If overhead is applied at the rate of 110% of direct labor costs.
Then from the above information, determine:
a) the amount of actual Overhead incurred during the year;
b) the amount of overhead applied during the year;
c) Was overhead for the year under- or over-applied and by how much?
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
