Brendal Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year: Results of operations: How much is the total manufacturing cost added to Work in Process during the year?
A)$1,215,000
B)$1,803,000
C)$1,498,500
D)$2,023,500

Question

Brendal Corporation is a manufacturer that uses job-order costing.The company has supplied the following data for the just completed year:  Results of operations:  How much is the total manufacturing cost added to Work in Process during the year?
A)$1,215,000 
B)$1,803,000 
C)$1,498,500 
D)$2,023,500

Quizplus · Accepted Answer

Predetermined overhead rate = Estimated total manufacturing overhead cost ÷ Estimated total amount of the allocation base
= $693,000 ÷ 42,000 direct labor-hours = $16.50 per direct labor-hour
Overhead applied = Predetermined overhead rate × Amount of the allocation base incurred
= $16.50 per direct labor-hour × 49,000 direct labor-hours = $808,500 11ea7998_5ef1_dc6b_911b_03779ca04c54_TB2627_00_TB2627_00

Brendal Corporation Is a Manufacturer That Uses Job-Order Costing