How much overhead should be applied to job


MACHINE HOURS ACTIVITY BASE:

Tools Company uses machine hours for its activity base for manufacturing overhead. The estimate of overhead costs for year on its job = $205,000, and the company use 1,000 hours of processing on JOB A during that period and incurred overhead costs of $210,000.

The budgeted machine hours for the year totaled 20,000.

How much overhead should be applied to job A?

Solution Preview :

Prepared by a verified Expert
Accounting Basics: How much overhead should be applied to job
Reference No:- TGS01933843

Now Priced at $20 (50% Discount)

Recommended (91%)

Rated (4.3/5)