Ikawna Corp uses machine hours as a base for its factory overhead rate. The following information is available for the year 2021: Budgeted machine hours, 271,000 MH; FOH rate, P5/MH; Underapplied FOH, P16,900; Actual machine hours, 265,200MH. How much is the actual FOH cost? a. P1,342,900 b. P1,309,100 c. P1,381,900 d. P1,348,100

Q: Franklin manufactures pipes and applies manufacturing overhead costs to production at a budgeted…

A: The amount of manufacturing overhead allocated to all the jobs during June 2020 is $72000

Q: Buller Company uses normal costing. It allocates manufacturing overhead costs using a budgeted rate…

A:

Q: Aneto productions uses a predetermined overhead recovery rate based on hours. A summary of the…

A: This question deals with the calculation of budgeted level of machine hour. We have been given…

Q: The Principles Corporation is a manufacturer of centrifuges. Fixed and variable manufacturing…

A: The difference between the actual and budgeted overhead cost is known as overhead spending variance.

Q: Kobe, Inc. had the following information relating to 2020. Budgeted factory overhead ₱ 74,800…

A: Predetermined overhead rate = Budgeted factory overhead / Estimated labor hours Applied factory…

Q: XYZ Corporation uses a predetermined overhead application rate of P.30 per direct labor hour. During…

A: The predetermined overhead rate is calculated as estimated overhead cost divided by budgeted…

Q: A company’s planned activity level for next year is expected to be 100000 machine hours. At this…

A: In the flexible budget prepared at the 80000 machine hours, the fixed costs shall remain the same…

Q: The applied overhead of Kayamoto company for the year is P2,484,000 based on 160,000 labor hours. If…

A: Overhead represents the indirect cost associated with the production process of the company.

Q: MARITES Company employs standard absorption system for product costing. The standard cost of this…

A: Standard Variable overhead rate per hour = Budgeted variable overhead / Budgeted direct labor hours…

Q: The Monroe Corporation manufactures lamps. It has set up the following standards per finished unit…

A:

Q: The annual normal capacity for Saplot company is 36,000 machine hours, with fixed manufacturing…

A: Overhead applied = (2,700 machine hours x P2.10 per hour) + P16,920 Overhead applied = P22,590

Q: Rhett Corporation provides the following information for 2020:   20   Budgeted manufacturing…

A: The overhead rate is calculated as total overhead cost divided by estimated base activity.  The…

Q: 1. XYZ Corporation budgets factory overhead cost of P500,000 for the coming year. Compute for the…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: A company estimates its manufacturing overhead will be $1,080,000 for the next year. What is the…

A: Activity based costing with the help of cost drivers, allocates overheads to cost pools before…

Q: Justine Company budgeted total variable overhead costs at P180,000 for the current period. In…

A: Underapplication of Overheads means that the estimated applied expenditure on factory overheads are…

Q: XYZ Corporation uses a predetermined overhead application rate of P.30 per direct labor hour. During…

A: Actual hours = applied overhead / predetermined overhead application rate  = P363,000 /0.30 =…

Q: In 2020 the budget for a machine shop showed overheads of $60,000 and volume of activity of 12,000…

A: Overheads are the all type of indirect costs and expenses being incurred. These costs can not be…

Q: A company s planned activity level for next year is expected to be 100000 machine hourS. At this…

A: Manufacturing overhead cost is the sum of all the indirect costs which are incurred while…

Q: Ravine Ltd determines the price of jobs using time and material pricing. Budgeted information…

A: It is assumed that  Material handling and storage overhead is allocated on the basis of material…

Q: Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours.…

A: Manufacturing Overhead Flexible Budget Report contains all the manufacturing costs, that will be…

Q: SANOFI Company uses a flexible budget for manufacturing overhead based on direct labor hours.…

A: The flexible budget is prepared on to compare the actual results with flexible data of production.…

Q: The master budget of Sheridan Company shows that the planned activity level for next year is…

A: Total variable costs = Indirect labor + Machine supplies + Indirect materials = $720000 + 180000 +…

Q: Bowshar Hills Company sells shoes and expects to produce and sell 20,000 units during the year 2022…

A: Budgeted cost of goods sold means how much cost is expected to be incurred on the goods that are to…

Q: Bowshar Hills Company sells shoes and expects to produce and sell 30,000 units during the year 2022…

A: Cost of goods sold means total costs incurred on the products that are being sold in the market.

Q: Bowshar Hills Company sells shoes and expects to produce and sell 50,000 units during the year 2022…

A: Cost of goods sold means total costs incurred in manufacturing of products that are to be sold in…

Q: Mayer, Inc., asks for your help in regards to its analysis of its variable and fixed overhead costs…

A: Solution: Variable Overhead Cost Variance Actual Cost     Standard cost for actual quantity…

Q: If Casablanca expects to incur 185,000 machine hours next month, what will the estimated total…

A: Variable Cost per unit =  (Cost of Highest Activity - Cost of lowest Activity)/(Highest Activity -…

Q: God’s Will Ent., GWT, started its business in 2021. The following information was available for…

A:

Q: World Company expects to operate at 80% of its productive capacity of 56,250 units per month. At…

A: Standards are established in advance in respect of sales, cost, efficiency, etc. From the standards,…

Q: Franklin manufactures pipes and applies manufacturing overhead costs to production at a budgeted…

A: Manufacturing overhead is allocated based on the predetermined rate which is calculated by dividing…

Q: A company uses normal costing. It allocates manufacturing overhead costs using a budgeted rate per…

A: Budgeted manufacturing overhead rate per machine hour = Budgeted manufacturing overhead costs /…

Q: Bowshar Hills Company sells shoes and expects to produce and sell 30,000 units during the year 2022…

A: Hi, as per the guidelines, when multiple questions are asked we are required to only solve the 1st…

Q: A company estimates its manufacturing overhead will be $630,000 for the next year. What is the…

A: Answer: Given Manufacturing Overhead = $ 630,000

Q: The following information has been by New Inc. in preparing its budget for November and December…

A: FOH means Factory Overhead expenses. These are all indirect costs related to factory like factory…

Q: Jackson Inc. listed the following data for 2019: $1,505,000 Budgeted factory overhead Budgeted…

A: Given the following information: Budgeted factory overhead: $1,505,000 Budgeted direct labor hours:…

Q: Justine Company budgeted total variable overhead costs at P180,000 for the current period. In…

A: We first need to understand the meaning of under or overapplied overhead. A overhead is known to be…

Q: The master budget of Swifty Corporation shows that the planned activity level for next year is…

A: A flexible budget is a budget that includes all the flexibility and change in the output. In…

Q: Oriole Company provided the following information from its accounting records for 2019: Expected…

A: Applied overhead:   In general, manufacturing entities applies overheads to the production process…

Q: Justine Company budgeted total variable overhead costs at P180,000 for the current period. In…

A: Formula: Overhead rate per hour = Total estimated overhead / Total estimated Machine hours

Q: The following are the flexible budget of Coco Corporation in different levels of direct labor hours.…

A: A) Calculate the total factory overhead rate per unit using direct labor hours Variable Factory…

Q: Jimbo has three production departments and a support department. The budgeted production overhead…

A: Apportionment of Overhead   PARTICULAR AMOUNT  APPORTIONMENT BASIS DEPARTMENT ASSEMBLY…

Q: Bramble Company estimates that 384,000 direct labor hours will be worked during the coming year,…

A: Budgeting is a process of planning future expenses and income for a particular period. Budgeting…

Q: Bowshar Hills Company sells shoes and expects to produce and sell 50,000 units during the year 2022…

A: Ans. Cost of Goods Sold refers to the cost incurred in the sale of goods produced by an…

Q: kasembe ltd is considering its plans for the year ending 3i december 2014. it makes and sells a…

A: Absorption costing Absorption costing method is the costing technique that allocates the fixed and…

Q: Ikawna Corp uses machine hours as a base for its factory overhead rate. The following information is…

A: Solution: Applied FOH = FOH rate* Actual machine hour = 5* 265200 = 1,326,000

Q: The Schuyler Corporation manufactures lamps. It has set up the following standards per finished unit…

A: 1.

Q: repare a statement that reconciles the budgeted and actual profit/loss for december, showing the…

A: Absorption costing: Absorption costing is method of accounting in which all cost associated with the…

Q: Marites Company employs standard absorption system for product costing. The standard cost of this…

A: The practice of reviewing your project's financial performance is known as cost variance. The cost…

Overheads

In cost accounting, overhead refers to those expenses which occur during the operating of a business. Overhead includes the fixed, variable, or semi-variable which is not directly involved with a company product or service. It is very important to analyze overhead expense as it helps the company in determining how much a company must charge for its products and services so that they can generate profit.  Overhead expenses depend upon the nature of the business operations.