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at year end, dub\'s wind generator co. had a $40,000 debit balance in its manufa

ID: 2365327 • Letter: A

Question

at year end, dub's wind generator co. had a $40,000 debit balance in its manufacturing overhead control account. overhead is applied to products based on direct labor cost. Relevant account balance information at year-end follows:

Work in process finished goods cost of goods
inventory inventory sold

direct material $20,000 $80,000 $120,000
direct labor 10,000 40,000 50,000
factory overhead 20,000 80,000 100,000
totals 50,000 200,000 270,000

a) what predetermined OH rate was used during the year?

Explanation / Answer

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