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goldenfox [79]
3 years ago
13

For Bonita Industries, the predetermined overhead rate is 70% of direct labor cost. During the month, $800000 of factory labor c

osts are incurred of which $210000 is indirect labor. Actual overhead incurred was $340000. The amount of overhead debited to Work in Process Inventory should be:
Business
1 answer:
Tamiku [17]3 years ago
4 0

Answer:

$147,000

Explanation:

Calculation to determine what The amount of overhead debited to Work in Process Inventory should be:

Using this formula

Overhead debited to Work in Process Inventory=Factory labor costs*Predetermined overhead rate

Let plug in the formula

Overhead debited to Work in Process Inventory=$210,000*70%

Overhead debited to Work in Process Inventory=$147,000

Therefore The amount of overhead debited to Work in Process Inventory should be:$147,000

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