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Author Question: Zarvo Moldings allocates manufacturing overhead to jobs based on machine hours. The company has the ... (Read 54 times)

Sportsfan2111

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on: Jan 4, 2020
Zarvo Moldings allocates manufacturing overhead to jobs based on machine hours. The company has the following estimated costs for the upcoming year:

Direct materials used $25,000
Direct labour costs $62,000
Salary of factory supervisor $41,000
Advertising expense $33,000
Heating and lighting costs for factory $21,000
Depreciation on factory equipment $9,000
Sales commissions $8,000

The company estimates that 1,800 direct labour hours will be worked in the upcoming year, while 2,000 machine hours will be used during the year.


At Zarvo Moldings the predetermined manufacturing overhead rate per machine hour is closest to
◦ $56.
◦ $100.
◦ $15.
◦ $36.
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Marked as best answer by Sportsfan2111 on Jan 4, 2020

lorealeza

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Reply #1 on: Jan 4, 2020
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Sportsfan2111

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Reply 2 on: Jan 4, 2020
YES! Correct, THANKS for helping me on my review

ashely1112

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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