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25 February, 06:37

Quilting Company assigns overhead on the basis of machine hours. Cutting Department machine hours $4,800 Stitching Department machine hours $8,000 Overhead Rate $10 per machine hour What is the entry for overhead?

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  1. 25 February, 09:50
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    Cutting Department machine hours $4,800

    Stitching Department machine hours $8,000

    Overhead Rate $10 per machine hour

    Cutting Department Factory Overhead 4800*10 = $ 48000

    Stitching Department Factory Overhead$ 80,000

    The entry for overhead will be

    Dr. Factory Overhead Cutting Department $ 48000

    Dr. Factory Overhead Stitching Department $ 80,000

    Cr. Work In Process $ 128,000
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