Quesion 3 leek One-Prologue The following accounts are from last years books at
ID: 2520909 • Letter: Q
Question
Quesion 3 leek One-Prologue The following accounts are from last years books at Walsh Manudlacharing Meek Two-Ch 2&3 Raw Materials 154,000 164 10000 Work In Process My Courses Library Resour Bal 510,000 132,000 168,000 210,000 Firished Goods Bal 0 (g) 460 000 510.000 50000 scturing Overthead 22.000 (e) 26 156.000 210 000 6,000 Cost of Goods Sold 460,000 ch) 6 000 Waish uses job-order costng and appies manufacturing overhead to jobs based on drect labor costs What is the manufacturing overhead overapplied or underapplied for the year? Select one O a 56,000 overappiled O b 526,000 underapplied S6.000 underappled O d 526.000 overapplied Walsh Corporation is a manufacturer that uses joborder costing The company has supplied fodovmg data for the hst completed yerExplanation / Answer
Ans: c) $ 6000 overapplied
As per the Manufacturing overhead account it is clear that $210000 is allocated from the WIP account, but actualy only $204000 is used. Hence the manufacturing overhead is overapplied by $6,000.