Maurice Tutor

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Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 18 Aug 2017 My Price 9.00

Sinclair Company

Sinclair Company manufactures a line of lightweight running shoes. CEO Andrew Sinclair estimated that the company would incur $3,198,890 in manufacturing overhead during the coming year. Sinclair Company uses direct labor hours as its manufacturing overhead application base, predetermined overhead rate is $14.47/DLH and when it uses machine hours as its manufacturing overhead application base, predetermined overhead rate is $6.07/MH. Additionally, he estimated the company would operate at a level requiring 221,070 direct labor hours and 527,000 machine hours. At the end of the year, Sinclair Company had worked 210,000 direct labor hours, used 357,000 machine hours, and incurred $2,533,000 in manufacturing overhead.

1.If Sinclair Company used direct labor hours as its manufacturing overhead application base, how much overhead was applied to jobs during the year?

2.Using direct labor hours as the application base, was manufacturing overhead under- or overapplied for the year? By how much?

3. If Sinclair Company used machine hours as its manufacturing overhead application base, how much overhead was applied to jobs during the year?

4. Using machine hours as the application base, was manufacturing overhead under- or overapplied for the year? By how much?

Answers

Maurice Tutor
(5)
Status NEW Posted 18 Aug 2017 06:08 PM My Price 9.00

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