Manufacturing overhead incurred (a)$215,000 Actual direct labor-hours 11,500× Predetermined overhead rate$18.20= Manufacturing overhead applied (b)$209,300 Manufacturing overhead underapplied (a) − (b)$5,700
What is Manufacturing?
The process of producing items using labor, equipment, instruments, biological or chemical processing, or formulation, is known as manufacturing. Manufacturing can be defined as either the mass production of finished things from raw materials or the development of increasingly complicated products through the sale of fundamental inputs to producers of commodities like cars, airplanes, and home appliances.
Manufacturing engineering, often known as the manufacturing process, converts raw materials into completed goods. Designing the product and choosing the materials come first in this procedure. Various manufacturing procedures alter the raw components to produce the completed product.
Some manufacturers use the term fabrication to describe how various components for a finished object are often created through a number of intermediary procedures used in modern sophisticated manufacturing.
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