1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Rom4ik [11]
2 years ago
13

Compute predetermined overhead rates and explain why estimated overhead costs (rather than actual overhead costs) are used in th

e costing process.
Business
1 answer:
Crazy boy [7]2 years ago
6 0

Why estimated overhead costs (rather than actual overhead costs) are used in the costing process is explained below.

A predetermined cost is an expenditure that a company estimates ahead of time.

This cost is calculated prior to the purpose of production and includes all variable costs that affect production in a manufacturing business.

Actual overhead costs are difficult to calculate for each job, especially in a production environment with a large number of jobs.

As a result, overhead costs are allocated according to some standardized methods, which may link overhead costs to direct labor, machining time, and material used in each job.

Manufacturing overhead in a manufacturing organization refers to indirect costs that are required for production but cannot be traced back to individual products.

Machine depreciation and factory rental are two examples of manufacturing overhead costs.

Hence, computation of predetermined overhead rates is given above.

Learn more about overhead:

brainly.com/question/26082424

#SPJ4

You might be interested in
Lightning Electronics is a midsize manufacturer of lithium batteries. The company’s payroll records for the November 1–14 pay pe
Alexeev081 [22]

Answer:

Journal entries for the following will be shown below:

Explanation:

1.

Journal entries for the wages expense is as follows:

Wages expense A/c.........................Dr     $50,000

        Income Tax Payable A/c................Cr   $7,000

        FICA taxes payable A/c...................Cr   $2,625

        Cash A/c...............................................Cr   $40,375

Working Note:

Cash = Wage expense - Income tax payable - FICA taxes payable

= $50,000 - $7,000 - $2,625

= $40,375

2.

Journal entry for the payroll expenses is as follows:

Payroll tax expense A/c............................Dr    $2,875

       FICA taxes payable A/c............................Cr   $2,625

       Unemployment taxes payable A/c.........Cr   $250

4 0
3 years ago
In evaluating the profit center manager, the income from operations should be compared a.across profit centers b.to historical p
olya-2409 [2.1K]

Answer: to historical performance or budget

Explanation:

A profit center in a business is a division that is able to make revenues independently and contribute to the revenue of the entire business. In evaluating the performance of a profit center manager, it is best to compare the performance to a budget or their historical performance.

This is because profit centers engage in different businesses and so their revenue making style will be unique. Some profit centers will make more than others because of the goods they produce or the way they produce it. It is therefore best to compare a profit center to an internal measure such as the budget and historical performance.

If the profit center exceeds either of these then they are performing well.

6 0
3 years ago
Allowance for Doubtful Accounts has a debit balance of $500 at the end of the year, before adjustment, and uncollectible account
tigry1 [53]

Answer: c. $18,000

Explanation:

Provision for doubtful accounts estimate;

= 600,000 * 3%

= $18,000

This is the Percentage of sales method and it ignores the existing balance in the Provision for doubtful accounts using only the estimate provided.

8 0
3 years ago
Trusted wholesalers is a company that purchases products produced in mexico and sells them to companies based in the united stat
DENIUS [597]
The appropriate response is NAFTA or the North American Free Trade Agreement. It is an assertion among the United States, Canada, and Mexico intended to evacuate duty hindrances between the three nations.

<span>In 1994, the North American Free Trade Agreement (NAFTA) became effective, making one of the world's biggest facilitated commerce zones and establishing the frameworks for solid financial development and rising flourishing for Canada, the United States, and Mexico.</span>
7 0
3 years ago
What happens to someone's property if they do not pay their taxes​
Gre4nikov [31]

Answer:

if they do not pay their taxes government ceil their properties..

5 0
3 years ago
Read 2 more answers
Other questions:
  • A neurobiologist explains to his students that the human nervous system is analogous to electrical circuits in homes. if the cir
    6·1 answer
  • On December 27, 2019, the directors of Partridge Corporation, an accrual basis calendar year taxpayer, authorized a cash contrib
    10·1 answer
  • Sales management at universal containers wants product managers to become more involved with sales deals that are being delayed
    10·1 answer
  • currently, a firm has an EPS of $2.08 and a benchmark PE of 12.7. Earning are expected to grow by 3.8 percent annually. What is
    8·1 answer
  • The three conditions that characterize difficult managerial decisions concerning resources, capabilities, and core competencies
    10·1 answer
  • If someone asked you, “Why should I bother worrying about my credit score?” what would you say?
    10·1 answer
  • According to the consumer bill of rights, the idea that consumers' interests should receive full and sympathetic consideration i
    8·1 answer
  • The technical and socio-cultural dimensions of project management are two sides of the same coin. Explain
    11·1 answer
  • 2. An effective classroom arrangement allows for the following:
    8·1 answer
  • Modern quality management approaches recognize the importance that quality: Group of answer choices Is planned, built, and inspe
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!