what is a withdrawal account classified as? (Asset, Liability,Owners equity,Revenue,or Expense account)

Martinez Manufacturing applies overhead based on direct labor hours. The company estimates that their overhead for the year will

aev [14]

Answer:

The correct answer is C: underapplied by $2,500

Explanation:

Giving the following information:

Martinez Manufacturing applies overhead based on direct labor hours.

The company estimates that their overhead for the year will be $180,000 and that they will use 72,000 direct labor hours.

During the year, Martinez Manufacturing used 75,000 direct labor hours and actual overhead costs were $190,000

We need to calculate if the overhead was under or over applied and in what amount.

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

Predetermined overhead rate= 180000/72000= $2.5 an hour

Now, we can calculate the amount of overhead allocated:

Overhead allocated= 75000 hours*2.5= $187,500

Over/under applied= actual overhead - allocated overhead= 190,000 - 185,500= $2,500 underapplied

7 0

3 years ago

This year, Mr. Thomas has a higher credit score than he did last year. Which of the following should Mr. Thomas expect with the

9966 [12]

An easier time getting a car loanan easier time renting an apartment

4 0

3 years ago

Read 2 more answers

Suppose two athletes each sign 10-year contracts for $80 million. In one case, we’re told that the $80 million will be paid in 1

marusya05 [52]

Answer:

The athlete with equal installments got the better deal.

Explanation:

Two athletes each sign 10-year contracts for $80 million.

In one case, we’re told that the $80 million will be paid in 10 equal installments.

In the other case, the $80 million will be paid in 10 installments, but the installments will increase by 5 percent per year.

The one with equal installments will get $8 million every year.

But the one with increasing installments will get smaller payments initially as his payments were to be increased by 5% each year.

Though the total value of both the annuities will remain the same.

7 0

2 years ago

In the last half of the twentieth century, Britain's Conservative Party sold state-owned enterprises to individual investors in

AlladinOne [14]

Answer:

Privatization

Explanation:

Privatization is a process in which the government sells companies it owns to private investors. This allows the industry to become less regulated as it has less government control which contributes to have a free market which is a system that has little or no control by the government. According to this, the process that Britain was using to create this economy is privatization.

4 0

3 years ago

Read 2 more answers

Strategic planning is the managerial process of creating and maintaining a fit between the organization's objectives and resourc

Thepotemich [5.8K]

Answer:

TRUE

Explanation:

Strategic planning is an essential tool for any company, regardless of its size or area of activity, through it the company identifies what its objectives and goals are for a period of time and develops action plans to achieve them. Through strategic planning, the company also seeks to identify its mission, vision, values, policies and procedures that will assist it in reaching its goals.

To be effective, it must be aligned with the organizational identity, be properly implemented and monitored.

7 0

2 years ago