Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. osborn manufacturing uses a predetermined overhead

Osborn Manufacturing uses a predetermined overhead rate of $19.60 per direct labor-hour. This predetermined rate...

90.2K

Verified Solution

Question

Accounting

Osborn Manufacturing uses a predetermined overhead rate of $19.60 per direct labor-hour. This predetermined rate was based on a
cost formula that estimates $262,640 of total manufacturing overhead for an estimated activity level of 13,400 direct labor-hours.
The company actually incurred $255,000 of manufacturing overhead and 12,900 direct labor-hours during the period.
Required:
Calculate the underapplied or overapplied manufacturing overhead.
Assume the company's underapplied or overapplied overhead is closed to Cost of Goods Sold. Would the closing journal entry
increase or decrease gross margin? By how much?
image

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Statistics
1.2K views

Some researchers in child development wanted to develop ways to increase the spatial-temporal reasoning of preschool...

Chemistry
1.2K views

Dinitrogen pentoxide (N2O5) decomposes in chloroform as a solvent to yield NO2 and O2. The decomposition...

Basic Math
1.2K views

A study was done to explore the number of chocolate bars consumed by 16-year-old girls in...

Biology
1.2K views

Consider the phylogeny of Arthropods below when answering the following three questions worm marine Shrimp...

Biology
1.2K views

dose Record answer as a whole number Do not use a trailing zero Blank 1...

Physics
1.2K views

In the circuit shown the current through the 4 22 resistor is 1 A when...

Basic Math
1.2K views

Let E represent the set of all of the prime numbers that are less than...

Accounting
1.2K views

3 of 4 bok 7 nt ces Required information [The following information applies to...

Accounting
1.2K views

1) Andy, Jim and Dwight are starting a professional paper shredding company, and they are...

Accounting
1.2K views

Blossom Company uses a flexible budget for manufacturing overhead that is based on direct labour...

Accounting
1.2K views

1. Use the following information to answer items below: Selling Price: $30; VC per...

Accounting
1.2K views

Create a table of Special Drawing rights for the period 16th May 2022 to 25th...