Student Name:
Class:
1,500,000 «- Correct!
2,500,000 «- Correct!
60% «- Correct!
b. Overhead costs charged to jobs:
Direct Applied
Labor Overhead
604,000$ 362,400$ «- Correct!
563,000 337,800 «- Correct!
298,000 178,800 «- Correct!
716,000 429,600 «- Correct!
Actual overhead cost
205
206
c. Overapplied or underapplied overhead:
Account Debit Credit
12,800
12,800 «- Correct!
Problem 15-04A
McGraw-Hill/Irwin
Instructor
Estimated overhead costs
Estimated direct labor cost
Overhead application rate
Jobs
Dec. 31 Cost of Goods Sole
Factory Overhead
203
204
201
202
Overhead
YERBURY COMPANY
General Journal
YERBURY COMPANY
a. Predetermined overhead rate:
50
2,000
25$
319,200$
240,000
140,000
88,000
68,000
480,000
60,000
68,800
36,000
1,500,000$
1,520,000$
604,000$
563,000$
298,000$
716,000$
314,000$
17,000$
(1c) Underapplied
(2) Cr. Factory Overhead
Check figure:
Job 203
Job 204
Job 205
Job 206, in process, direct labor
Actual overhead costs incurred
Direct labor costs on jobs completed and sold:
Job 201
Job 202
Given Data 15-04A:
Depreciation – factory equipment
Repairs expense – factory equipment
Factory supplies used
Miscellaneous production costs
Total estimated overhead costs
Estimate of next year’s manufacturing overhead costs:
Indirect labor
Factory supervision
Rent on factory building
Factory utilities
Factory insurance expired
YERBURY COMPANY
Estimate of next year’s direct labor:
Number of persons
Average number of hours each
Average wage rate