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When manufacturing overhead is applied to production is added to?

the Work in Process account


What is Applied manufacturing overhead?

what is factory overhead applied?


What is factory Overhead applied?

what isfactory overhead applied


In a process costing system what account is debited when manufacturing overhead costs are applied to the cost of production?

the finished goods inventroy account


A debit balance in the manufacturing overhead account at year end means?

It means you have incurred more actual manufacturing overhead costs than you have applied to your products (i.e., manufacturing overhead is underapplied).


How do you calculate under and over applied OH?

To calculate under or overapplied overhead, subtract the actual overhead costs from the applied overhead costs. If the actual overhead costs exceed the applied overhead costs, it is overapplied. If the applied overhead costs exceed the actual overhead costs, it is underapplied.


If actual overhead for the year is 33451 and applied overhead is 32000 is the overhead variance over applied or under applied assuming the amount is immaterial how would you dispose of the variance?

Difference between actual overhead and applied overhead is as follows: Difference = 33451 - 32000 = 1450 Difference of variance will be charged to income statement.


Why do you need applied overhead rate?

We need applied overhead rate to know about the overhead variance. Otherwise how will we know how much overhead expenses should have been incurred and how much is actually incurred? Predetermined rate multiplied by the actual unit level activity is applied overhead


What if budgeted manufacturing overhead is not equal to applied manufacturing overhead?

There is a variance.


What is the percentage of grant overhead that will be applied to the total budget for the project?

The percentage of grant overhead that will be applied to the total project budget is 10.


Is overhead applied after the period?

Overhead is applied at start of production to calculate the cost of goods manufactured and to determine the total cost and profit as well.


Applied overhead vs actual overhead?

APPLIED Overhead is computed using the predetermined overhead rate and is the amount of costs applied (or estimated) to be allocated (needed) for specific jobs. ACTUAL Overhead is found after the manufacturing process is complete which gives the actual amount of used/consumed resources (or total costs) that it needed to complete the job. The two amounts can then be compared afterward which is known as Under- or Overapplied Manufacturing Overhead. When Manufacturing Overhead has a DEBIT balance, overhead is said to be UNDERAPPLIED, meaning that the overhead applied to work in process or to the certain job is LESS than the overhead incurred. On the contrary, when manufacturing overhead has a CREDIT balance, overhead is OVERAPPLIED, meaning that the overhead assigned to work in process or to the certain job is GREATER than the overhead incurred.