Sullen Corporation uses a predetermined overhead rate base on machine-hours that it recalculates at the beginning of each year. The company has provided the following data for the most recent year.?Predetermined overhead rate$14.30per machine-hour?Estimated total fixed manufacturing overhead from the beginning of the year$572,000??Estimated activity level from the beginning of the year40,000machine-hours?Actual total fixed manufacturing overhead$605,000??Actual activity level36,700machine-hoursRequired:Determine the amount of manufacturing overhead that would have been applied to all jobs during the period.
What will be an ideal response?
| ? | Predetermined overhead rate (a) | $14.30 | per machine-hour |
| ? | Actual activity level (b) | 36,700 | machine-hours |
| ? | Manufacturing overhead applied (a) × (b) | $524,810 | ? |
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