Cooper Copper allocates overhead based on machine

hours. Estimated mfg. overhead costs for the year totaled $1,500,000

Cooper's production manager estimated that it would use 50,000

machine hours during the year. Cooper actually used 48,500

machine hours during the year and actually incurred $1,530,000

of mfg. overhead.

What is the pre-determined overhead rate for the year?

???

What is the amount of applied overhead

(i.e., OH assigned to WIP) for the year?

???

Use the T-account to determine the amount of over or under

applied overhead for the year.

Mfg. OverheadControl

What are the total debits to the OH Control Account? ???

What are the total credits to the OH Control Account? ???

Ending balance ??? ???

Why does the overhead applied differ from the

actual overhead cost? - pick the best answer

1 Cooper likely produced more units than expected.

2 Cooper spent more on marketing than budgeted.

3 Variable mfg. overhead costs were less than anticipated.

4 Fixed mfg. overhead costs were greater than forecast.