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The Johns Company Budgeted Factory Overhead at $125,000 for the Period

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Short Answer

The Johns Company budgeted factory overhead at $125,000 for the period for Department A based on a budgeted volume of 50,000 direct labor hours. At the end of the period, the factory overhead control account for Department A had a balance of $126,000. The actual (and allowed) direct labor hours were 52,000. What was the over- or underapplied factory overhead for the period?
A)$6,500 underapplied
B)$6,500 overapplied
C)$4,000 underapplied
D)$4,000 overapplied


Definitions:

Female Pelvis

The bony structure at the lower part of the abdomen, which is wider and shallower than the male pelvis, adapted for childbirth.

Amputation

The surgical removal of a limb, part of a limb, or other body part.

Appendage

An external body part or limb that is attached to the main body, such as an arm, leg, wing, or tail.

Surgical Removal

The process of excising or cutting out a body part or tissue typically through operative procedures.

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