User Account

All Pages

Calculate the underapplied or overapplied manufacturing

Assignment Help Accounting Basics
Reference no: EM133551021

Case Study: Osborn Manufacturing uses a predetermined overhead rate of $19.30 per direct labor-hour. This predetermined rate was based on a cost formula that estimates $252,830 of total manufacturing overhead for an estimated activity level of 13,100 direct labor-hours.

The company actually incurred $249,000 of manufacturing overhead and 12,600 direct labor-hours during the period.

Required:

  1. Calculate the underapplied or overapplied manufacturing overhead.
  2. Assume the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Would the closing journal entry increase or decrease gross margin? By how much?

 

Reference no: EM133551021

Questions Cloud

Do you believe that it is appropriate that we have a single : Do you believe that it is appropriate that we have a single, global set of accounting standards as well as one conceptual framework that has global
Relationship between history and art collecting : This authors are Christopher Lloyd and Robert Hughes. What is the relationship between history and art collecting?
Identify the accounting elements in the basic accounting : Identify the accounting elements in the basic accounting equation and the expanded accounting equation: Define asset and liability.
Supreme court justices impacted public skepticism : What are the rules for Supreme Court ethics, and what effect how have recent claims of unethical conduct by Supreme Court justices impacted public skepticism?
Calculate the underapplied or overapplied manufacturing : Calculate the underapplied or overapplied manufacturing overhead. Assume the company's underapplied or overapplied overhead is closed to Cost of Goods Sold.
How to calculate gross margin : how to calculate gross margin. I show it in the lecture). For clarity, $15,000 is what you paid for the goods. This will be paid from the cash account
Who does the brand represent and what makes brand unique : Who is the ad talking to? What makes the consumer unique? Who does the brand represent? What makes the brand unique?
How often the trait is seen among living organisms : How often the trait is seen among living organisms. Your examples must be different from those presented in the textbook.
Discusses some aspect of consolidated financial statements : discusses some aspect of consolidated financial statements (investments, sales, disclosures) and review the FASB code for the topic being discussed.

Reviews

Write a Review

Accounting Basics Questions & Answers

  What does the future hold for the average american

We have been going through a massive immigration of Hispanics in the last few years. What does the future hold for the "average American"

  Crumple car rentals is planning to expand into the western

crumple car rentals is planning to expand into the western part of the u.s. and needs to acquire approximately 400

  Prepare journal entries to record the april transactions

Prepare journal entries to record the April transactions. The company records prepaid and unearned items in balance sheet accounts

  What is the estimated cost of the ending inventory

On June 30, Metlock, Inc.has the following data pertaining to the retail inventory method. What is the estimated cost of the ending inventory

  Determine the earnings per share on common stock

Income before income tax was $1,500,000 and income taxes were $200,000 for the current year. Determine the earnings per share on common stock

  Compute the relative size of sales revenue total and of

xerox reports several sources of income. how should revenue be recognized for each of these business activities?

  Prepare the journal entry to record the transfer on books

Prepare the journal entry to record the transfer on the books of Mountain High assuming that the sale criteria are met

  Estimate the price for google

1. Use the information below to estimate the price for Google. EPS is earnings per share, PE is the ratio of price to earnings (P/E ratio), PEG is the P/E ratio divided by the five-year expected growth rate, and PS is the price to sales ratio (the ..

  How much income does monica recognize

How much income does Monica recognize and how will it be treated? What would your answer be to the first question if had used the optional straight-line method.

  What depreciation method does amazon use

What depreciation method does Amazon use for property and equipment? What is the range of useful lives for buildings and for fixtures and equipment? Do these useful lives make sense?

  A generally accepted account title is the financial

1.a generally accepted account title isa.prepaid revenue.b.appropriation for contingencies.cearned surplus.d.reserve

  Determine the accounts receivable turnover

Average accounts receivable (net) 64,240. Determine (a) the accounts receivable turnover and (b) the number of days' sales in receivables

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd