This Question: 20 pts 4 of 14 (12 complete) ? of 14 (12 complete) Southerm, Inc.

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This Question: 20 pts 4 of 14 (12 complete) ? of 14 (12 complete) Southerm, Inc. is a technolony consulting firm focused on Web site development and integration of Internet business applications. T expects to inour $525,000 of indirect costs this year, and she expects her firm to work 3,500 direct labor hours. Southem's systems rate of $340 per hour Clients are billed at 160% of direct labor cost Last month, Southern's consultants spent 190 hours on Halbert Requirements 1. Compute Southern's predetermined overhead allocation rate per direct labor hour 2. Compute the total cost assigned to the Halbert engagement 3. Compute the operating income from the Halbert engagement Requirement 1. Compute Southern's predetermined overhead allocation rate per direct labor hour Select the formula, then enter the amounts to calculate the predetermined overhead (OH) allocation rate Predetermined Esimated overhead costsEstimated aty of the alocation baseallocation rate Estimated qty of the alocation base Requirement 2. Compute the total cost assigned to the Halbert engagement. Begin by selecting the formula to calculate the overhead costs assigned to the engagement Allocated Predetermined OH llcation rate x Now compute the total cost assigned to the Halbert engagement Actual overhead costs s overhead costs Choose ftrom any list or enter any number in the input fields and t then continue to the next question. Chapter 20 Practice Problems (Not Graded) ignments Goo... Take a Test -migue... DELL Rg FS F6

Explanation / Answer

Dear Student Thank you for using Chegg Please find below the answer Statementshowing Computations Paticulars Amount 1) Estimated Overhead costs/Estimated quantity of allocation base = Predetermined overhead allocation rate Predetermined overhead allocation rate = 525,000/3500                    150.00 2) Direct Labour cost = 340*190              64,600.00 Overhead cost = 150*190              28,500.00 Total cost assigned              93,100.00 3) Revenue = 190*340*160%            103,360.00 Less Total costs              93,100.00 operating income              10,260.00

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