Willard Company applies manufacturing overhead costs to products as a percentage

Question

Willard Company applies manufacturing overhead costs to products as a percentage of direct labor dollars. Estimated and actual values of manufacturing overhead and direct labor costs are summarized here:

Compute the predetermined overhead rate. (Omit the "%" sign in your response.)

Calculate the rate at which the manufacturing overhead will be applied based ondirect labor cost. (Omit the "%" sign in your response.)

Estimated Actual Direct labor cost $ 480,000 $ 430,000 Manufacturing overhead 945,600 870,600

Explanation / Answer

a) ((480000-430000)/430000 )*100 = 11.16 b) ((945600- 870600)/870600)*100 =8.61

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.