Question

Maple Company uses a job costing system. Maple​ Company's schedule of cost of goods manufactured showed the following amounts for the month ended August 31. Cost of direct materials used $ 42 comma 600$42,600 Cost of goods manufactured 124 comma 200124,200 Cost of direct labor ​($3030 per​ hour) 76 comma 20076,200 Work in process​ inventory, August 1 15 comma 50015,500 Manufacturing overhead cost is allocated at the rate of $ 17$17 per direct labor hour. What is the amount of allocated manufacturing overhead costs for​ August?

Answer 1

Answer:

Allocated overhead= $43,180

Explanation:

Giving the following information:

Cost of direct materials used $42,600

Cost of goods manufactured $124,200

Cost of direct labor ​($30 per​ hour)= $76,200

Manufacturing overhead cost is allocated at the rate of $17 per direct labor hour.

Allocated overhead= predetermined overhead rate* actual allocation base

Allocated overhead= 17* (76200/30)= $43,180