2 of 3 1 comp This Question 1 pt The Taccount showing the ma

2 of 3 (1 comp This Question: 1 pt The T-account showing the manufacturing overhead activity for Edith Corp. for 2018 is as follows: Manufacturing Overhead 214,000 205,000 Read the requirements Requirement 1. What is the actual manufacturing overhead? Actual manufacturing overhead: S| Requirement 2. What is the allocated manufacturing overhead? Allocated manufacturing overhead: $ Requirement 3. Is manufacturing overhead underallocated or overallocated? By how much? Manufacturing overhead is

Solution

a. Actual Manufacturing OH is $214000 (The Debits to Manufacturing OH A/c is Actual OH)

b. Allocated Manufacuring OH is $209000 (The Credits to Manufacturing OH A/c is Allocated OH)

c. Manufacturing OH is under allocated by $9000 ( Actual OH is greater than Allocated OH, Thus it will result in Under Allocation)