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The Gerald Company Budgeted Overhead at $480,000 for the Period

Question 26

Multiple Choice

The Gerald Company budgeted overhead at $480,000 for the period for Department A based on a budgeted volume of 60,000 direct labor hours.At the end of the period,the factory overhead control account for Department A had a debit balance of $475,000;actual direct labor hours were 58,000.What was the under- or over applied factory overhead for the period?


A) $8,000 overapplied
B) $11,000 overapplied
C) $11,000 underapplied
D) $8,000 underapplied

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