Ninder Manufacturing uses a predetermined manufacturing overhead rate to allocate overhead
to individual jobs based on the machine hours required.At the beginning of the year,the company expected to incur the following:

At the end of the year,the company had actually incurred the following:

Required:
1.Compute Ninder's predetermined overhead rate.
2.How much manufacturing overhead was allocated to jobs during the year?
3.How much manufacturing overhead was incurred during the year?
4.Is manufacturing overhead over allocated or under allocated at the end of the year and by how much?

Question

Ninder Manufacturing uses a predetermined manufacturing overhead rate to allocate overhead
to individual jobs based on the machine hours required.At the beginning of the year,the company expected to incur the following:
  
At the end of the year,the company had actually incurred the following:
  
Required:
1.Compute Ninder's predetermined overhead rate.
2.How much manufacturing overhead was allocated to jobs during the year?
3.How much manufacturing overhead was incurred during the year?
4.Is manufacturing overhead over allocated or under allocated at the end of the year and by how much?

Quizplus · Accepted Answer

The Answer of Ninder Manufacturing uses a predetermined manufacturing overhead rate to allocate overhead
to individual jobs based on the machine hours required.At the beginning of the year,the company expected to incur the following:
  
At the end of the year,the company had actually incurred the following:
  
Required:
1.Compute Ninder's predetermined overhead rate.
2.How much manufacturing overhead was allocated to jobs during the year?
3.How much manufacturing overhead was incurred during the year?
4.Is manufacturing overhead over allocated or under allocated at the end of the year and by how much?

Ninder Manufacturing Uses a Predetermined Manufacturing Overhead Rate to Allocate