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For ABC Company, the manufacturing overhead was estimated to be $200.000 for the year along with...


For ABC Company, the manufacturing overhead was estimated to be $200.000 for the year along with 20,000 direct labor hours. A
For ABC Company, the manufacturing overhead was estimated to be $200.000 for the year along with 20,000 direct labor hours. Actual manufacturing overhead was $215.000, and actual labor hours were 21.000. The predetermined overhead rate is 5 per direct labor hours. The applied manufacturing overhead is $ Is the overhead overapplied or underapplied? By how much? It is (fill in overapplied or underapplied) by 5
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Answer #1

Predetermined overhead rate = Estimated manufacturing overhead / Estimated direct labor hours Predetermined overhead rate = 2

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