Question: please help !!! Predetermined Overhead Rate, Applied Overhead, Unit Cost Gomez, Inc., costs products using a normal costing system. The following data are available for
Predetermined Overhead Rate, Applied Overhead, Unit Cost Gomez, Inc., costs products using a normal costing system. The following data are available for last year: Budgeted: Overhead $294,400 Machine hours 82,000 Direct labor hours 9,200 Actual: Overhead $293,700 Machine hours 80,500 Direct labor hours 8,880 Prime cost $615,840 Number of units 100,000 Overhead is applied on the basis of direct labor hours. a Required: 1. What was the predetermined overhead rate? 32 per direct labor hour 2. What was the applied overhead for last year? 284,160 3. Was overhead over or underapplied, and by how much? Underapplied overhead = $ 10,240 X
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