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Bubba’s Crawfish Processing Company uses a traditional overhead allocation based on direct labor hours. For the current year overhead is estimated at $1,150,000 and direct labor hours are budgeted at 162,000 hours. Actual overhead was $1,100,000 and actual overhead hours worked were 150,000. (a) Calculate the predetermined overhead rat(E) (b) Calculate the overhead applie(D) (c) Determine the amount of overhead that is over/underapplie(D)

Bubba’s Crawfish Processing Company uses a traditional overhead allocation based on direct labor hours. For the current year overhead is estimated at $1,150,000 and direct labor hours are budgeted at 162,000 hours. Actual overhead was $1,100,000 and actual overhead hours worked were 150,000. (a) Calculate the predetermined overhead rat(E) (b) Calculate the overhead applie(D) (c) Determine the amount of overhead that is over/underapplie(D) (Points : 6)

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