Schulz Corporation applies overhead based upon machine - hours Budgeted factory overhead was $ 266,400...
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Accounting
Schulz Corporation applies overhead based upon machine - hours Budgeted factory overhead was $ 266,400 and budgeted machine hours 1854 . Actual factory overhead was $ 287,920 and actual machine - hours were 19,050 . Before disposition of under/overallocated overhead the following information was available:
account balance overhead portion
Direct materials $60000 $nil
WIP $190000 $66500
Finished goods $250000 $75000
Cost of goods sold $560000 $184800
. Required:
a, Determine the budgeted factory overhead rate per machine - hour
b . Compute the over / under allocated overhead
c, Prepare the journal entry to dispose of the variance using the write - off to cost of goods sold approach The corporation uses Manufacturing Overhead Allocated and Manufacturing Overhead control accounts
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