Question
In: Accounting
For the current year, Omaha Mechanical has a monthly overhead cost formula of $60,060 + $6...
For the current year, Omaha Mechanical has a monthly overhead cost formula of $60,060 + $6 per direct labor hour. The firm’s current year expected annual capacity is 109,200 direct labor hours, to be incurred evenly each month. Making one unit of the company’s product requires 1.5 direct labor hours.
b. Prepare journal entries to record (1) the incurrence of
$179,970 of actual overhead in January, when 8,946 direct labor
hours were worked and (2) the application of overhead to Work in
Process Inventory.
Note: Round amounts to the nearest whole dollar.
Solutions
ekkarill92 answered 2 years agoRelated Solutions
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