Wang Company Provides the Following Data for the Current Year

question 189

Essay

Wang Company provides the following data for the current year:
Estimated Factory Overhead $7,800
Factory Overhead Incurred $11,400
Factory Overhead Applied ?
Estimated Direct Labor Cost $12,000
Direct Labor Cost Incurred $11,800
Required:
a. Calculate the predetermined overhead allocation rate based on direct labor.
b. Determine the amount of overhead applied to production.
c. Prepare the journal entry to apply factory overhead to Work in Process.

---

Definitions:

Emotional Appeal

Emotional appeal is a persuasive technique that attempts to generate an emotional response, rather than a rational argument, to influence an audience's attitudes or actions.

Psychological Reactance

A reaction against perceived attempts to limit one's freedom or autonomy, often resulting in a desire to regain that freedom.

Psychological Description

Description of a product or service in terms of audience benefits.

Factual Appeal

A persuasive strategy that uses facts, statistics, and objective information to influence the audience's opinion.