Multiple Choice
The Davis Corporation budgeted factory overhead at $250,000 for the period for the Assembly Department based on a budgeted volume of 100,000 direct labor hours.At the end of the period,the factory overhead control account for the Assembly Department had a balance of $252,000.The actual (and allowed) direct labor hours were 103,000.
What was the over- or underapplied factory overhead for the period?
A) $3,000 underapplied
B) $3,000 overapplied
C) $5,500 underapplied
D) $5,500 overapplied
Correct Answer:
Verified
Correct Answer:
Verified
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