(Appendix 10A) Furtado Incorporated makes a single product--a cooling coil used in commercial refrigerators. The company has a standard cost system in which it applies overhead to this product based on the standard labor-hours allowed for the actual output of the period. Data concerning the most recent year appear below:

-The total manufacturing overhead is underapplied or overapplied by how much?
A) $33,056 Underapplied
B) $1,066 Underapplied
C) $33,056 Overapplied
D) $1,066 Overapplied

Question

(Appendix 10A) Furtado Incorporated makes a single product--a cooling coil used in commercial refrigerators. The company has a standard cost system in which it applies overhead to this product based on the standard labor-hours allowed for the actual output of the period. Data concerning the most recent year appear below:
 
-The total manufacturing overhead is underapplied or overapplied by how much?
A) $33,056 Underapplied 
B) $1,066 Underapplied 
C) $33,056 Overapplied 
D) $1,066 Overapplied

Quizplus · Accepted Answer

11ea7761_173d_7c79_81a5_dd987ec71347_TB2580_00

(Appendix 10A) Furtado Incorporated Makes a Single Product--A Cooling Coil