Kimble Company Applies Overhead on the Basis of Machine Hours

question 132

Multiple Choice

Kimble Company applies overhead on the basis of machine hours.Given the following data, compute overhead applied and the under- or overapplication of overhead for the period: $\begin{array}{lr}\text { Estimated annual overhead cost } & \$ 1,600,000 \\\text { Actual annual overhead cost } & \$ 1,575,000 \\\text { Estimated machine hours } & 400,000 \\\text { Actual machine hours } & 390,000\end{array}$

• A)$1,560,000 applied and $15,000 overapplied
• B)$1,600,000 applied and $15,000 overapplied
• C)$1,560,000 applied and $15,000 underapplied
• D)$1,575,000 applied and neither under-nor overapplied

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Definitions:

Corpus Callosum

A large band of neural fibers connecting the two cerebral hemispheres and facilitating interhemispheric communication.

Cerebrum

The largest part of the brain, responsible for voluntary motor functions, cognition, emotions, and sensory processing.

Supply Chain Flows

refers to the movement of goods, information, and finances as they pass from supplier to manufacturer, distributor, retailer, and ultimately to the consumer within the supply chain.

Supply Chain Management

The management of the flow of goods and services, involving the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption.