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This Question: 1 pt 15 of 20 (14 complete) This Quiz: 20 pts possible Showboat C

ID: 2338179 • Letter: T

Question

This Question: 1 pt 15 of 20 (14 complete) This Quiz: 20 pts possible Showboat Corporation had actual manufacturing overhead costs for the most recent year of $29,600. Manufacturing overhead is allocated using a predetermined manufacturing overhead rate of $3.00 per direct labor hour. Direct labor cost is $19 per hour. At the end of the year, Cabaret Corporation found it had overallocated manufacturing overhead by $2,050. How much manufacturing overhead was allocated in total during the year? OA. $31,650 B. $29,600 O C. $2,050 D. $27,550

Explanation / Answer

Answer is $31,650

Actual Manufacturing Overhead Costs = $29,600
Overallocated Manufacturing Overhead = $2,050

Allocated Manufacturing Overhead = Actual Manufacturing Overhead Costs + Overallocated Manufacturing Overhead
Allocated Manufacturing Overhead = $29,600 + $2,050
Allocated Manufacturing Overhead = $31,650

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