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Author Question: Global Manufacturing Inc. uses normal costing during the year to allocate manufacturing overhead to ... (Read 127 times)

jlmhmf

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Global Manufacturing Inc. uses normal costing during the year to allocate manufacturing overhead to jobs in a job costing system. At year end, it uses the adjusted allocation rate approach to account for underallocated or overallocated overhead. During 2018, Global's manufacturing overhead was underallocated by 10%. Job 117 had the following costs:

Direct materials $1,600
Direct labor $3,400
Manufacturing overhead allocated $2,000

Which of the following would be the after adjustment cost of Job 117?
◦ $7,340
◦ $7,200
◦ $7,700
◦ $6,300


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Marked as best answer by jlmhmf on Mar 6, 2021

trog

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jlmhmf

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Reply 2 on: Mar 6, 2021
Excellent


Joy Chen

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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