<span> Manufacturing overhead describes the difference between manufacturing overhead cost applied to work in process and manufacturing overhead cost actually incurred during a period.</span>
Over-applied manufacturing overhead would result if the manufacturing overhead cost applied to work in process is more than the manufacturing overhead cost actually incurred during a period. So, in over-applied overhead the applied overhead is bigger than the actual overhead.
Answer:
a.385 stones
b.349 stones
c.168 stones
Explanation:
Order quantity that minimizes total annual cost is known as the Economic Order Quantity.
<em>Economic Order Quantity = √(2 × Annual Demand × Ordering Cost per Order) / Holding Cost per unit</em>
= √(2×28×110×$48) / $2
= 384.5 or 385 stones
<em>Economic Order Quantity = √(2 × Annual Demand × Ordering Cost per Order) / Holding Cost per unit</em>
= √(2×28×110×$48) / ($8.10 × 30%)
= 348.8 or 349 stones
Re-oder point is the point at which the order should be placed to obtain additional inventories
<em>Reorder Point = Lead Time × Usage</em>
= 6 days × 28 stones
= 168 stones
Answer:
The production departments in the first stage and the unit of product in the second stage.
Explanation:
The cost object under the department overhead rate used to allocate the cost based on the cost drivers.
In this departmental overhead rate method, first the overhead is allocated in the first department after that in the second stage the unit of product is done
so that the proper sequencing could be done and actual value could come
Answer:
Decrease cash; increase supplies.
Explanation:
The accounting equation is shown below:
Total assets = Total liabilities + Shareholder's equity
In the given transaction, the office supplies were purchased for $100 and it is paid immediately which means the balance of supplies is increased and the cash balance is decreased.
It gives a positive impact on the office supplies account and a negative impact on the cash balance under the current assets.