Answer:
Allocated MOH= $165,240
Explanation:
Giving the following information:
Estimated manufacturing overhead $157,750
Estimated machine-hours 4,640
Actual manufacturing overhead $157,400
Actual machine-hours 4,860
First, we need to calculate the predetermined manufacturing overhead rate:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 157,750/4,640= $34 per machine hour
Now, we can calculate the allocated overhead:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 34*4,860= $165,240