The Following Information Is Available for the Danske Company Danske Company Had Total Underapplied Overhead of $15,000

question 50

Multiple Choice

The following information is available for the Danske Company:
$\begin{array}{lrr} \text { Denominator hours for May } &15,000\\ \text {Actual hours worked during May } &14,000\\ \text {Standard hours allowed for May } &12,000\\ \text {Flexible budget fixed overhead cost } &\$45,000\\\text { Actual fixed overhead costs for May } &\$48,000\\\end{array}$

Danske Company had total underapplied overhead of $15,000. Additional information is as follows:
$\begin{array}{c}\begin{array}{lll} \text {Variable Overhead:}\\ \text {Applied based on standard direct labor hours allowed }\\\text { Budgeted based on standard direct labor hours}\\\\ \text {Fixed Overhead:}\\ \text {Applied based on standard direct labor hours allowed }\\ \text {Budgeted based on standard direct labor hours}\end{array}\begin{array}{lll}\\\$42,000\\38,000\\\\\\\$30,000\\27,000\end{array}\end{array}$


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What is the actual total overhead for the period?

• A) $50,000.
• B) $45,000.
• C) $80,000.
• D) $87,000.

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Definitions:

Relational Level

An aspect of communication that concerns the nature of the relationship between the participants, including how they feel about each other.

Content Level

Refers to the depth and complexity of the material being addressed or conveyed.

Urgency

A measure of how pressing or immediate a task, problem, or situation is, often requiring swift action or attention.

Implicit

Suggested or understood without being directly expressed or stated, often inferred from actions or context.