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gulaghasi [49]
3 years ago
10

Amberjack Company is trying to decide on an allocation base to use to assign manufacturing overhead to jobs. The company has alw

ays used direct labor hours to assign manufacturing overhead to products, but it is trying to decide whether it should use a different allocation base such as direct labor dollars or machine hours. Actual and estimated data for manufacturing overhead, direct labor cost, direct labor hours, and machine hours for the most recent fiscal year are summarized here:
Estimated Value Actual Value
Manufacturing overhead cost $732,000 $842,000
Direct labor cost $366,000 $377,000
Direct labor hours 14,640 hours 16,600 hours
Machine hours 18,300 hours 17,500 hours

Required:
Based on the company’s current allocation base (direct labor hours), compute the following:
a. Predetermined overhead rate.
b. Applied manufacturing overhead.
c. Over- or underapplied manufacturing overhead.
Business
1 answer:
svetoff [14.1K]3 years ago
8 0

Answer:

Results are below.

Explanation:

Giving the following information:

Estimated Value Actual Value

Manufacturing overhead cost $732,000 $842,000

Direct labor hours 14,640 hours 16,600 hours

<u>To calculate the predetermined manufacturing overhead rate we need to use the following formula:</u>

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 732,000 / 14,640

Predetermined manufacturing overhead rate= $50 per direct labor hour

<u>Now, we can allocate overhead:</u>

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 50*16,600

Allocated MOH= $830,000

<u>Finally, the over/under allocation:</u>

Under/over applied overhead= real overhead - allocated overhead

Under/over applied overhead= 842,000 - 830,000

Underapplied overhead= $12,000

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The National Bureau of Economic Research (NBER) describes a recession as "a large fall in economic activity distributed across the economy, lasting more than a few months."

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1 year ago
If GDP is expected to increase at a steady rate of 3% per year, how many years would it take for living standards to double
Troyanec [42]

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24 years

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In a situation where a country GDP which is fully known as GROSS DOMESTIC PRODUCT was been expected to increase or grow at a rate of 3% per year or per annual which means that it will actually takes up to 24 years for a country economy living standard to double .

Therefore the numbers of years it would take for a country living standards to double will be 23 years.

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3 years ago
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Answer:

The right response is "Business ethics".

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Mariposa Corporation is considering purchasing equipment for $200,000. Mariposa expects this equipment will last for 20 years an
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Answer:

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AT cashflow = Income before taxes(1- tax) + annual depreciation amount

Depreciation amount is added back because even though it is an expense deducted to arrive at the income before tax, it is not an actual cash outflow.

Annual depreciation amount = $200,000/ 20 = $10,000

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Therefore, Mariposa’s expected cash flow after taxes per year is $24,220

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3 years ago
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<em>Answer:</em>

<em>d. delegation.     </em>

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