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(Solution) - Alles Company uses a job costing system that applies factory

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Alles Company uses a job costing system that applies factory overhead on the basis of direct labor dollars. No job was in process on February 1. During the month of February, the company worked on these three jobs:

During the month, the company completed and transferred Job B10 to the finished goods inventory. Jobs C44 and G15 were not completed and remain in work in process at the cost of $148,650 at the end of the month. Actual factory overhead costs during the month totaled $38,500.
1. What is the predetermined factory overhead rate?
2. Compute the amount of underapplied or overapplied overhead for February.


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This question was answered on: Jul 11, 2017

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