How much overhead was applied during the year


Acme Company had the following information for the year:

  Direct materials used $113,100
  Direct labor incurred (5,350 hours) $158,000
  Actual manufacturing overhead incurred $175,400

Acme Company used a predetermined overhead rate of $44 per direct labor hour for the year. Assume the only inventory balance is an ending Work in Process balance of $17,400. How much overhead was applied during the year?

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Accounting Basics: How much overhead was applied during the year
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