Budgeted Machine Hours = 24,000 Actual Factory Overhead = 1,037,400 Actual Labor Hours = 72,600 Actual Machine Hours = 23,600 If overhead is applied based on direct labor hours, the overapplied / underapplied overhead is: Student Answer: $ 15,300 underapplied. $ 15,300 overapplied. $ 51,600 underapplied. $ 51,600 overapplied. $-0- UNIT 2 QUIZ
Question 14. Question: Randall Company manufactures products to customer
specifications. A job costing system is used to accumulate
production costs. Factory overhead cost was applied at 125 % of
direct labor cost. Selected data concerning the past year ' s operation of the company are presented below.
Budgeted Machine Hours = 24,000 Actual Factory Overhead = 1,037,400 Actual Labor Hours = 72,600 Actual Machine Hours = 23,600 If overhead is applied based on direct labor hours, the overapplied / underapplied overhead is: Student Answer: $ 15,300 underapplied. $ 15,300 overapplied. $ 51,600 underapplied. $ 51,600 overapplied. $-0- UNIT 2 QUIZ
Question 14. Question: Randall Company manufactures products to customer
specifications. A job costing system is used to accumulate
production costs. Factory overhead cost was applied at 125 % of
direct labor cost. Selected data concerning the past year ' s operation of the company are presented below.