Question

15) Duphy Corporation has provided the following data concerning last month's operations Purchases of raw materials $ 25,000 Indirect materials included in manufacturing overhead $ 4,000 Direct labor cost $ 58,000 acturing whead applied to Work in Process $ 99,000 Beginning Ending $ 11,000 $ 17,000 How much is the total nanufacturing cost for the month on the Schedule of Cost of Goods Manufactured? A) 3176,000 B) 5172,000 C) 3152,000 D) 5224,000 16) Crich Corporationes direct labor-hours in its predetermined overhead rate. At the beginning of the year, the estimated direct labor hours were 21,800 hours and the total estimated manufacturing overhead was 5497,040. At the end of the year, actual direct laber-houn for the year were 21,500 hours and the actual manufacturing overhead for the year was 5492,040. Overhead at the end of the year wax: A) 56,540 overapplied B) 56,840 underapplied C) 51,140 underapplied D) 31,540 overapplied 17) Dukes Corporation used a predetermined overhead rate this year of 52 per direct laber-hour, based on an estimate of 20,000 direct labee hours to be worked during the year. Actual costs and activity during $ 38,000 18,500 Actual factoring ved cost incurred Actual direct laber-hoars worked The overapplied or underapplied facturing for the year was A) 31,000 underas B) 51,000 wapplied C) 33,000 underapplied D) 33,000 overapplied 11) Precision Corporation wed a predetermined overhead rate last year of 33 per direct laborbour, based on an estimate of 24,000 direct labor-hours to be worked during the year. Actual costs and activity during Actual facturing overhead cost incurred Actual direct labor hours worked $ 84,000 27,000 The overapplied or underapplied facturing overhead for the year was A) 33,000 underapplied B) 53,000 overapplied C) 512,000 underapplied D) 512,000 overapplied

Answer 1

15) (B) $ 172,000

1) Calculate total manufacturing cost for the month

Beginning raw material	11000
Raw material purchase	25000
Less: Ending raw material	-17000
Less: Indirect material	-4000
Direct material used	15000
Direct labor	58000
Overhead applied	99000
Total manufacturing cost	172000

16) $1,840 Underapplied

OH rate

= 497,040 / 21,800

= 22.8

OH applied (21,500*22.8)	490,200
Actual OH	(492,040)
Overapplied (Underapplied) OH	1,840

17) $1,000 Underapplied

OH applied (18,500*2)	37,000
Actual OH	(38,000)
Overapplied (Underapplied) OH	1,000