Lauren Fine Clothing manufactures clothes for professional women. Lauren applies overhead at the rate of $15...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Lauren Fine Clothing manufactures clothes for professional women. Lauren applies overhead at the rate of $15 per direct labor hour. During April, the company had budgeted 9,420 direct labor hours. At the end of April, 9,200 direct labor hours and $132,670 in manufacturing overhead had been incurred. To adjust for the difference between applied and incurred overhead, journal entry the firm should record is (using write-off approach): Debit Cost of Goods Sold and Credit MOH Sold by 5,330 Debit MOH and Credit Cost of Goods Sold by 3,330 O Debit MOH and Credit Cost of Goods Sold by 5,330 Debit Cost of Goods Sold and Credit MOH Sold by 3,330 Lauren Fine Clothing manufactures clothes for professional women. Lauren applies overhead at the rate of $15 per direct labor hour. During April, the company had budgeted 9,420 direct labor hours. At the end of April, 9,200 direct labor hours and $132,670 in manufacturing overhead had been incurred. To adjust for the difference between applied and incurred overhead, journal entry the firm should record is (using write-off approach): Debit Cost of Goods Sold and Credit MOH Sold by 5,330 Debit MOH and Credit Cost of Goods Sold by 3,330 O Debit MOH and Credit Cost of Goods Sold by 5,330 Debit Cost of Goods Sold and Credit MOH Sold by 3,330 Lauren Fine Clothing manufactures clothes for professional women. Lauren applies overhead at the rate of $15 per direct labor hour. During April, the company had budgeted 9,420 direct labor hours. At the end of April, 9,200 direct labor hours and $132,670 in manufacturing overhead had been incurred. To adjust for the difference between applied and incurred overhead, journal entry the firm should record is (using write-off approach): Debit Cost of Goods Sold and Credit MOH Sold by 5,330 Debit MOH and Credit Cost of Goods Sold by 3,330 O Debit MOH and Credit Cost of Goods Sold by 5,330 Debit Cost of Goods Sold and Credit MOH Sold by 3,330 Lauren Fine Clothing manufactures clothes for professional women. Lauren applies overhead at the rate of $15 per direct labor hour. During April, the company had budgeted 9,420 direct labor hours. At the end of April, 9,200 direct labor hours and $132,670 in manufacturing overhead had been incurred. To adjust for the difference between applied and incurred overhead, journal entry the firm should record is (using write-off approach): Debit Cost of Goods Sold and Credit MOH Sold by 5,330 Debit MOH and Credit Cost of Goods Sold by 3,330 O Debit MOH and Credit Cost of Goods Sold by 5,330 Debit Cost of Goods Sold and Credit MOH Sold by 3,330
Expert Answer:
Answer rating: 100% (QA)
Predetermined overhead rate 15 per direct labor hour Actu... View the full answer
Related Book For
Managerial accounting
ISBN: 978-0471467854
1st edition
Authors: ramji balakrishnan, k. s i varamakrishnan, Geoffrey b. sprin
Posted Date:
Students also viewed these accounting questions
-
The nozzle shown discharges water at the rate of 200 gal/min. Knowing that at both B and C the stream of water moves with a velocity of magnitude 100 ft/s, and neglecting the weight of the vane,...
-
The famous Widget Company sells widgets at the rate of 80,000 units per year. Each widget sells for $100, and it costs 30 percent to carry widgets in inventory for a year. The process of widget...
-
The Sun radiates energy at the rate of 3.85 1026 W. a) At what rate, in kilograms per second, is the Sun's mass converted into energy? b) Why is this result different from the rate calculated in...
-
Look at the following code. Which line will cause a compiler error? Explain why. Line 1 public class ClassA Line 2 { Line 3 public ClassA () {} Line 4 public final int methodl (int a) () Line 5...
-
Why do you think that private limited partnerships have come to dominate the U. S. venture capital industry? Can you think of any weaknesses this organizational form may have as a vehicle for...
-
Refer to the data in BE8-5 for Gourdeau Co. In BE8-5 (a) Assuming the allowance for doubtful accounts has an unadjusted credit balance of $4,500 at December 31, what is the bad debt expense for the...
-
Solve the following boundary value problem: \[y^{\prime \prime}(x)=f(x), \quad y(0)=0, \quad y(1)=0\] Hence solve \(y^{\prime \prime}(x)=x^{2}\) subject to the same boundary conditions.
-
Redfern Corporation, a calendar year taxpayer, has been an S corporation for several years. Rod and Kurt each own 50% of Redferns stock. On July 1 of the current year (assume a non-leap year),...
-
choose two companies that are successfully following a Market Orientation (as described in the textbook) in 2023 and report on their market orientation execution. How does these companies take on a...
-
Assume that on January 1, 2013, the investor company issued 4,000 new shares of the investor company's common stock in exchange for all of the individually identifiable assets and liabilities of the...
-
An investor deposits $2,000, then withdraws level annual payments starting one year after the deposit was made. Immediately after the 11th annual drawing, the investor has $400 left in the account....
-
Two and one half years from now Melanie Olson wants to have $8,500 in the bank. She can earn insterest of 12% compounded monthly. Compute the amount that Millatti must deposit today.
-
Consider someone you know whom you regard as an exceptionally good person. How much does this person resemble Platos portrait of the just person? How is he or she different?
-
In what ways is he different How does Socrates proceed in his examination of his fellow citizens? is the connection between dialectic and truth?
-
A partnership firm earned net profits during the last three years as follows: 1986- Rs. 17,000; 1987- Rs. 20,000; 1988- Rs. 23,000. The capital investment in the firm throughout the above mentioned...
-
A person running a hedge fund and are long a portfolio of Mortgage-Backed securities with a market value of $100 million and an average effective duration of 3 and short a portfolio of treasury bonds...
-
Charlie, a calendar-year taxpayer, owns a piece of equipment that he uses solely in his business. Charlie paid $100,000 for the equipment, and has taken the maximum allowable depreciation deductions...
-
A summary of changes in Pen Corporation's Investment in Sam account from January 1, 2011, to December 31, 2013, follows (in thousands): ADDITIONAL INFORMATION 1. Pen acquired its 80 percent interest...
-
How does standard process costing relate to variance analysis? Is variance analysis likely to be more or less informative in a process-costing setting relative to a job-costing setting?
-
Tom and Lynda operate Hercules Gym. The club currently has 900 individual members and 300 family memberships. The fee for individual memberships is $100 per month, and families pay $150 per month....
-
We know that the controllable benefits less the controllable costs of an option equals its value. Can focusing only on relevant costs and benefits ever give us value?
-
Catherine Rampell is an economics writer for the Washington Post. In an article in 2023, she observes that the average U.S. tariff rate on mens underwear is 11.5 percent. The average rate on womens...
-
An opinion column in the Wall Street Journal argued that Americans enjoy comparative advantages in [service] sectors such as construction and engineering, but global trade in services is weighed down...
-
An article in the Wall Street Journal explained that despite rising national security tensions between the United States and China in 2023, trade between the two nations was rising. China is a...
Study smarter with the SolutionInn App