(Solution) - Samson manufactures wooden backyard playground equipment Samson estimated 1 800 000 of -(2025 Original AI-Free Solution)
Paper Details
Samson manufactures wooden backyard playground equipment. Samson estimated $1,800,000 of manufacturing overhead and $2,000,000 of direct labor cost for the year. After the year was over, the accounting records indicated that the company had actually incurred $1,660,000 of manufacturing overhead and $2,250,000 of direct labor cost.
1. Calculate Samson's predetermined manufacturing overhead rate assuming that the company uses direct labor cost as an allocation base.
2. How much manufacturing overhead would have been allocated to manufacturing jobs during the year?
3. At year-end, was manufacturing overhead overallocated or underallocated? By how much?