Hilltop Manufacturing uses a predetermined manufacturing overhead rate based on direct labor hours to allocate manufacturing overhead to jobs.Selected data about the company's operations follows:

By how much was manufacturing overhead overallocated or underallocated for the year?

Question

Hilltop Manufacturing uses a predetermined manufacturing overhead rate based on direct labor hours to allocate manufacturing overhead to jobs.Selected data about the company's operations follows:

By how much was manufacturing overhead overallocated or underallocated for the year?

Quizplus · Accepted Answer

B)($550,000 / 50,000)= $11.00;60,000 × $11.00 = $660,000
$500,000 - $660,000 = $160,000 overallocated

Hilltop Manufacturing Uses a Predetermined Manufacturing Overhead Rate Based on Direct