Reference no: EM132530445
Question - Kansas Company uses a standard cost accounting system. In 2017, the company produced 27,900 units. Each unit took several pounds of direct materials and 1.6 standard hours of direct labor at a standard hourly rate of $13.00. Normal capacity was 49,700 direct labor hours. During the year, 130,300 pounds of raw materials were purchased at $0.93 per pound. All materials purchased were used during the year.
Standard materials price per pound: .95
Standard materials quantity per unit 4.6
Standard hours allowed 44,640
Actual hours worked 45,140
Actual rate per hour 12.80
Predetermined overhead rate 6.60
Standard cost per unit 35.73
Required - How much overhead was applied to production during the year?