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Beaver Company Used a Predetermined Overhead Rate Last Year of $2

Question 9

Multiple Choice

Beaver Company used a predetermined overhead rate last year of $2 per direct labour hour,based on an estimate of 25,000 direct labour hours to be worked during the year.Actual costs and activity during the year were: Beaver Company used a predetermined overhead rate last year of $2 per direct labour hour,based on an estimate of 25,000 direct labour hours to be worked during the year.Actual costs and activity during the year were: The underapplied or overapplied overhead last year was: A) $1,000 underapplied. B) $1,000 overapplied. C) $3,000 overapplied. D) $2,000 underapplied. The underapplied or overapplied overhead last year was:


A) $1,000 underapplied.
B) $1,000 overapplied.
C) $3,000 overapplied.
D) $2,000 underapplied.

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