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Author Question: Franklin Inc. manufactures pipes and applies manufacturing overhead costs to production at a ... (Read 116 times)

captainjonesify

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on: Mar 6, 2021
Franklin Inc. manufactures pipes and applies manufacturing overhead costs to production at a budgeted indirect-cost rate of $18 per direct labor-hour. The following data are obtained from the accounting records for June 2018:

Direct materials$170,000
Direct labor (4,600 hours @ $10/hour)46,000
Indirect labor17,000
Plant facility rent34,000
Depreciation on plant machinery and equipment24,500
Sales commissions33,000
Administrative expenses28,000

For June 2018, manufacturing overhead is ________.
◦ overallocated by $7,300
◦ underallocated by $20,700
◦ overallocated by $20,700
◦ underallocated by $7,300
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by captainjonesify on Mar 6, 2021

Yixagurpuldink

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Reply #1 on: Mar 6, 2021
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captainjonesify

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review

irishcancer18

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

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