Question: LOL Ltd distributes overhead based on direct labour dollars. The estimated manufacturing overhead for the year was $800,000 and the estimated direct labour dollars
LOL Ltd distributes overhead based on direct labour dollars. The estimated manufacturing overhead for the year was $800,000 and the estimated direct labour dollars for the year were $160,000. Indicate the amount of underapplied or overapplied overhead if actual direct labour was $135,000 and actual manufacturing overhead was $650,000. a. $25,000 underapplied Ob. $150,000 overapplied O C. $25,000 overapplied O d. $150,000 underapplied
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