Question

Manufacturing overhead was estimated to be $355,300 for the year along with 20,900 direct labor hours. Actual manufacturing overhead was $216,400, and actual labor hours were 21,500. The amount credited to the Manufacturing Overhead account would be: g

Answer 1

$365,500

Step-by-step explanation:

With regards to the above, first we will calculate the predetermined overhead rate

Predetermined overhead rate = $355,300 / 20,900 = $17

Then, Applied manufacturing overhead = $17 × 21,500

= $365,500

The amount that would be credited to manufacturing overhead account is $365,500