What amount of total overhead cost would have been applied


Overhead cost is applied to units based on direct labor hours. For April, total overhead cost was budgeted at $80,000 based on a denominator activity level of 20,000 direct labor hours for the month. The standard cost card indicates that each unit of finished product requires 2 direct labor-hours. The following data are available for April's activity:
Number of units produced 9,500
Direct labor hours worked 19,500
Actual total overhead cost incurred $79,500
What amount of total overhead cost would have been applied to production for the month of April?

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Accounting Basics: What amount of total overhead cost would have been applied
Reference No:- TGS070146

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