(SOLVED)- The following information relates to Beautiful Designs Pty Ltd for


Question Description:

$20

The following information relates to Beautiful Designs Pty Ltd for the year just ended:
Required:
1. Calculate the firm’s predetermined overhead rate. Which was based on direct labour hours.
2. Calculate the overapplied or underaplied overhead for the year.
3. Prepare a journal entry to close the manufacturing overhead account to cost of goods sold.
4. What caused the overapplied or underapplied overhead?

Answer

$20