Blakely Charges Manufacturing Overhead to Products by Using a Predetermined

question 52

Multiple Choice

Blakely charges manufacturing overhead to products by using a predetermined application rate, computed on the basis of machine hours. The following data pertain to the current year:
Budgeted manufacturing overhead: $480,000
Actual manufacturing overhead: $440,000
Budgeted machine hours: 20,000
Actual machine hours: 16,000
Overhead applied to production totaled:

• A) $352,000.
• B) $384,000.
• C) $550,000.
• D) $600,000.
• E) some other amount.

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