Please help me fill out the empty boxes accordingly. Ikerd Company applies manuf

Question

Please help me fill out the empty boxes accordingly.

Ikerd Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $ 292,552 for the year, and machine usage is estimated at  126,100 hours.

For the year, $ 413,432 of overhead costs are incurred and  130,100 hours are used.

Compute the manufacturing overhead rate for the year. (Round answer to 2 decimal places, e.g. 1.52.)

eTextbook and Media

List of Accounts

What is the amount of under- or overapplied overhead at December 31?

eTextbook and Media

List of Accounts

Prepare the adjusting entry to assign the under- or overapplied overhead for the year to cost of goods sold. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Account Titles and Explanation

Debit

Credit

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

Manufacturing overhead rate $ enter the manufacturing overhead rate per machine hour in dollars rounded to 2 decimal places per machine hour Ch15 HW Part 2 Ci Seoure! https://cypresscoleçe.instructure.com/courses,'673,'as Ikerd Company applies manufacturing overhead tojobs on the basis of machine hours used. Overhead costs are expected to total $292,552 for the year, and machine usage is estimated at 126,100 hours. For the yea 5413,432 over head costs are incurred and 130,100 hours are used Compute the manufacturing coverhead rate far the year. (Round answer to 2 decimal places, eg. 1.52.) Manufacturing averhead rate er marhine hour eTextbook and Media List of Accounts What is the amount of under- or overapplied overhead at December 31 Manufacturing Overhead cTextbook and Media list of Accounts Prepara the adjusting ontry to assign tha under orovcrappliod overhcad for the ycartocost of goods sold. (Credit account titles are automaticaily indented when amount is entered. Do not indent manualy Account Titles and Explanation Debi Credit O lype hene to search

Explanation / Answer

Manufacturing overhead rate=Expected overhead costs/expected machine usage=292552/126100=$ 2.32 per machine hour Under or over applied overhead=difference of (Manufacturing overhead applied and actual manufacturing overhead incurred) Manufacturing overhead applied=Actual machine hours*Manufacturing overhead rate=130100*2.32=$ 301832 Actual manufacuring overhead=$413432 Since manufacturing overhead applied is less than actual manufacturing overhead, there is an under-application of overhead Under-applied overhead=413432-301832=$ 111600 Account titles and explanation Debit Credit Cost of goods sold 111600 Manufacturing overhead 111600 (Assignment of under-applied overhead)

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