Perion Corporation Uses Direct Labor-Hours in Its Predetermined Overhead Rate

Perion Corporation uses direct labor-hours in its predetermined overhead rate.At the beginning of the year,the estimated direct labor-hours were 11,200 hours and the total estimated manufacturing overhead was $259,840.At the end of the year,actual direct labor-hours for the year were 10,800 hours and the actual manufacturing overhead for the year was $254,840.Overhead at the end of the year was:

A) $4,280 overapplied.
B) $9,280 overapplied.
C) $9,280 underapplied.
D) $4,280 underapplieD.
See calculation below.

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free