Factory Overhead Rate, Entry for Applying Factory Overhead, and Factory Overhead Account Balance The chief cost accountant
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Question:
May 1 would be $3,000,000 and total direct labor costs would be $2,400,000.
During May, the actual direct labor cost totaled $198,400 and factory overhead cost incurred totaled $253,200.
a. What is the predetermined factory overhead rate based on direct labor cost? Enter your answer as a whole percent not in decimals. %
b. Journalize the entry to apply factory overhead to production for May.
c. What is the May 31 balance of the account Factory Overhead—Blending Department? Amount: $ Debit or Credit?
d. Does the balance in part (c) represent overapplied or underapplied factory overhead?
Related Book For
Financial and Managerial Accounting
ISBN: 978-1285866307
13th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
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