Estimated manufacturing overhead for the year $30,000

Estimated direct labor hours for the year 2,000

Two jobs were worked during the year: Job A-101 and Job A-102. The number of direct labor hours spent on Job A-101 and Job A-102 was 1,200 and 1,000, respectively. The actual manufacturing overhead was $37,000.

What is the amount of the under- or overapplied manufacturing overhead?

	$4,000 underapplied
	$7,000 overapplied
	$1,000 underapplied
	$3,000 overapplied

Answer rating: 100% (QA)

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