PearCo’s actual overhead for the year was $650,000 with a total of 170,000 direct labor hours worked on jobs.
How much total overhead was applied to PearCo’s jobs during the year? Use PearCo’s predetermined overhead rate of $4.00 per direct labor hour.
Darshita Changed status to publish August 29, 2020
Answer:
Overhead Applied During the Period
Applied Overhead
= POHR × Actual Direct Labor Hours
= $4.00 per DLH × 170,000 DLH 3
= $680,000
So overhead applied during the period is $ 680000
Darshita Changed status to publish August 29, 2020
