Answer:
absorption
Explanation:
Manufacturing cost can be regarded as the summation of the cost of consumed resources during the production of a product. It can be divided into
direct materials cost
✓ direct labor cost
✓ manufacturing overhead.
It should be noted that All manufacturing costs are assigned to units of product and all non-manufacturing costs are treated as period cost under absorption costing.
Answer:
The right choice is Option c (110.0%).
Explanation:
⇒
On estimating the values, we get
⇒ =
⇒ =
Note: percent = %
Answer:
130%
Explanation:
Calculation for the predetermined overhead rate
Using this formula
Predetermined Overhead rate = Total Overhead Costs / Total direct materials costs
Let plug in the formula
Predetermined Overhead rate= $1,170,000 / $900,000
Predetermined Overhead rate=1.3*100
Predetermined Overhead rate= 130%
Therefore the Predetermined Overhead rate will be 130%
Answer:
Overapplied overhead= $7,575 overapplied
Explanation:
<u>First, we need to allocate overhead costs based on actual hours: </u>
<u></u>
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 31.25*4,780
Allocated MOH= $149,375
<u>Now, the over/under allocation:</u>
Under/over applied overhead= real overhead - allocated overhead
Under/over applied overhead= 141,800 - 149,375
Overapplied overhead= $7,575 overapplied
Incomplete question. However, I provided added explanation of the term value proposition.
<u>Explanation:</u>
<em>What is the value or usefulness of this service or </em>product<em> to me? </em>By clearly telling your customers satisfying answers to the raised earlier you have communicated an effective value proposition message.
So in other words, an organization should have strong convincing value propositions; so that <em>majority </em>of your intended target market would not resist using that product or service for another alternative.