1) Parsons Co. uses a predetermined overhead rate based on direct labor hours to apply MOH to jobs. Last year, Parsons incurred $250,000 in actual manufacturing overhead cost. The MOH account showed that overhead was over applied in the amount of $12,000 for the year. If the predetermined overhead rate was $8.00 per direct labor hour, how many hours were worked during the year?

31,250 hours c. 32,750 hours

30,250 hours d. 29,750 hours

2) Snappy Company has a job-order cost system and uses a predetermined overhead rate based on direct labor hours to apply MOH to jobs. MOH cost and direct labor hours were estimated at $100,000 and 40,000 hours respectively for the year. In July, Job #334 was completed with $5,000 in direct materials and $2,400 in direct labor. The labor rate is $6 per hour. By the end of the year, Snappy had worked a total of 45,000 direct labor hours and had incurred $110,250 actual manufacturing overhead cost. If Job #334 contained 200 units, the unit cost on the completed job cost sheet would be:

$37.00 c. $41,90

$42.00 d. $39.50

3) Using the information from #24, what was Snappys MOH for the year?

$10,250 under applied c. $12,500 under applied .

$12,5000 over applied d. $2,250 over applied