Solved

LM Company Listed the Following Data for 2019 Required:
(1) Assuming KLM Applied Overhead Based on Direct Labor

Question 104

Essay

LM Company listed the following data for 2019:  Budgeted factory overhead $1,143,800 Budgeted direct labor hours 86,000 Budgeted machine hours 28,595 Actual factory overhead 1,101,770 Actual direct labor hours 87,200 Actual machine hours 28,300\begin{array} { l r } \text { Budgeted factory overhead } & \$ 1,143,800 \\\text { Budgeted direct labor hours } & 86,000 \\\text { Budgeted machine hours } & 28,595 \\\text { Actual factory overhead } & 1,101,770 \\\text { Actual direct labor hours } & 87,200 \\\text { Actual machine hours } & 28,300\end{array} Required:
(1) Assuming KLM applied overhead based on direct labor hours, calculate the company's predetermined overhead rate for 2019.
(2) Assuming KLM applied overhead based on machine hours, calculate the company's predetermined overhead rate for 2019.
(3) If overhead is applied based on direct labor hours, calculate the overapplied/underapplied overhead.
(4) If overhead is applied based on machine hours, calculate the overapplied/underapplied overhead.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents