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Business, 17.03.2021 23:40 omarabady

A company applies manufacturing overhead costs to production at a budgeted indirect-cost rate of $7 per direct labor-hour. The following data are obtained from the accounting records for June 2020: Direct materials $170,000
Direct labour (4,600 Hours at $10/Hour) 46,000
Direct labour hour used 9,000 HOURS
Budgeted overhead cost 65,000
Actual overhead cost 71,000

For June 2020, manufacturing overhead is :

a) Correct answer is not provided
b) Underallocated by $8,000
c) Overallocated by $6,000
d) Underallocated by $6,000


A company applies manufacturing overhead costs to production at a budgeted indirect-cost rate of $7

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