Asked by Mikerlange Charles on May 29, 2024

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The estimated total manufacturing overhead is closest to:

A) $665,000
B) $497,002
C) $497,000
D) $168,000

Manufacturing Overhead

Factory-associated indirect expenses that arise during the manufacturing of a product.

Estimated Total

The projected summed amount or quantity determined through approximation or calculation at the outset of a project or for a specific period.

  • Comprehend the principle and computation of manufacturing overhead.
  • Achieve proficiency in calculating the total manufacturing overhead.
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ER
Ear'n RattanapumMay 29, 2024
Final Answer :
A
Explanation :
Estimated total manufacturing overhead cost = Estimated total fixed manufacturing overhead cost + (Estimated variable overhead cost per unit of the allocation base × Estimated total amount of the allocation base)= $497,000 + ($2.40 per direct labor-hour × 70,000 direct labor-hours)= $497,000 + $168,000 = $665,000