AC202 Week 6 Help

AC202 Week 6 Help - Problem # 1 The following calendar year...

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Problem # 1 The following calendar year information about the Tahoma Corporation is available on December 31: The company applies overhead on the basis of 125% of direct labor costs. Calculate the amount of over- or underapplied overhead. The under or over applied is the difference between the actual and the applied overhead. The actual overhead is to be calculated from the details in the table The actual overhead (manufacturing costs other than direct material and direct labor) is Depreciation on factory equipment 42,320 Factory utilities 35,650 Rent on factory building 41,400 Indirect labor 51,750 Total actual overhead = $171,120 The overhead applied is 125% of direct labor costs. The direct labor costs are 142,600. The overhead applied is 142,600X125% = $178,250 The difference is 171,120-178,250 = $7,130 Since the applied is higher than actual, the overhead is over applied. (under applied if applied is less than actual) The amount of over applied overhead is $7,130.
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Problem # 2 A company uses a process cost accounting system. The following information is available
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This note was uploaded on 11/11/2011 for the course AC 202 taught by Professor Nancyeverett during the Spring '09 term at Park.

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AC202 Week 6 Help - Problem # 1 The following calendar year...

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