Question

Determine the total overallocation or underallocation of manufacturing overhead during the year. Actual manufacturing costs for the year totaled $1,225,000.
1. Assume that Therrien used direct labour hours as the allocation base.
2. Assume that Therrien used the direct labour cost as the allocation base.
3. Assume that Therrien used machine hours as the allocation base.
4. Were there any situations in which jobs were costed correctly? If not, when were they overcosted? When were they undercosted?


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  • CreatedApril 30, 2015
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