Estimated manufacturing overhead cost at the beginning of the year: $100,000 Estimated direct labor hours at the beginning of the year: 10,000 Actual manufacturing overhead cost incurred during the year: $118,000 Actual direct labor hours worked during the year: 11,000 Based on the above information, the cost record of the company will show: Select one: a. the overapplied overhead of $8,000 b. they are all wrong c. the overapplied overhead of $18,000 d. the underapplied overhead of $18,000

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter4: Job Order Costing
Section: Chapter Questions
Problem 8PA: Coops Stoops estimated its annual overhead to be $85,000 and based its predetermined overhead rate...
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Estimated manufacturing overhead cost at the
beginning of the year: $100,000
Estimated direct labor hours at the beginning of the
year: 10,000
Actual manufacturing overhead cost incurred during
the year: $118,000
Actual direct labor hours worked during the year:
11,000
Based on the above information, the cost record of
the company will show:
Select one:
a.
the overapplied overhead of $8,000
b. they are all wrong
c. the overapplied overhead of $18,000
d.
the underapplied overhead of $18,000
Transcribed Image Text:Estimated manufacturing overhead cost at the beginning of the year: $100,000 Estimated direct labor hours at the beginning of the year: 10,000 Actual manufacturing overhead cost incurred during the year: $118,000 Actual direct labor hours worked during the year: 11,000 Based on the above information, the cost record of the company will show: Select one: a. the overapplied overhead of $8,000 b. they are all wrong c. the overapplied overhead of $18,000 d. the underapplied overhead of $18,000
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