Question & Answer: Manufacturing overhead was estimated to be $489,600 for the year along with 20,400 direct labor hours. Actual manufacturi…..

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Manufacturing overhead was estimated to be $489,600 for the year along with 20,400 direct labor hours. Actual manufacturing overhead was $470,220, actual labor hours were 21,800. The amount of manufacturing overhead applied to production would be: $470,220 $523,000 $489,600 $495,950

Expert Answer

B. $523,200

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Question & Answer: Manufacturing overhead was estimated to be $489,600 for the year along with 20,400 direct labor hours. Actual manufacturi…..

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Predetermined overhead rate = $489,600 / 20,400 = $24.00

Applied manufacturing overhead = $24.00 x 21,800 = $523,200

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