Carlo Company Uses a Predetermined Overhead Rate Based on Direct

question 55

Multiple Choice

Carlo Company uses a predetermined overhead rate based on direct labour hours to apply manufacturing overhead to jobs.The company estimated manufacturing overhead at $255,000 for the year and direct labour-hours at 100,000 hours.Actual manufacturing overhead costs incurred during the year totalled $270,000.Actual direct labour hours were 105,000.What was the overapplied or underapplied overhead for the year?

• A) $2,250 overapplied.
• B) $2,250 underapplied.
• C) $15,000 overapplied.
• D) $15,000 underapplied.

---

Definitions:

Ground Rules

Pre-established guidelines or rules aimed at structuring behavior or interactions within a specific context or activity.

Q&A

Question and Answer; a format where inquiries are posed and then answered, commonly used in interviews, research, and online platforms.

Board Of Directors

A group of individuals elected to represent shareholders and govern over an organization's activities.

Speech Introduction

The opening section of a speech designed to capture the audience's attention and provide an overview of the main topics.