At the Beginning of the Year, Wilson Company Estimated the Following

question 110

Multiple Choice

At the beginning of the year, Wilson Company estimated the following: Wilson used normal costing and applies overhead on the basis of direct labor hours. For the month of September, direct labor hours equaled 9,350 and actual overhead equaled $46,750.
Calculate the overhead applied to production in September.

• A) $56,100
• B) $30,000
• C) $46,750
• D) $5 per direct labor hour
• E) None of these.

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Definitions:

Assigned

Attributed or designated to a particular task, resource, or responsibility within an organization or process.

Cash Dividend

A payment made by a company out of its earnings to its shareholders, typically in the form of cash.

Retained Earnings

Retained earnings are the portion of a company's net income that is kept within the company instead of being paid out to shareholders as dividends, used for reinvestment.

Prerequisites

Requirements that must be met or completed before taking on a subsequent task or enrolling in a particular course or program.