Question

# Convert Departmental Data to Plantwide Data, Plantwide Overhead Rate, Apply Overhead to Production At the beginning...

Convert Departmental Data to Plantwide Data, Plantwide Overhead Rate, Apply Overhead to Production

At the beginning of the year, Jonson Company estimated the following:

 Firing Department Polishing Department Total Overhead \$405,000 \$110,000 \$515,000 Direct labor hours 28,750 100,000 128,750 Kiln hours 90,000 — 90,000

Assume that Jonson has decided to use a plantwide overhead rate based on direct labor hours. Actual data for the month of July are as follows:

 Firing Department Polishing Department Total Overhead \$34,000 \$9,370 \$43,370 Direct labor hours 2,350 8,600 10,950 Kiln hours 7,400 — 7,400

Required:

1. Calculate the predetermined plantwide overhead rate.
\$ per direct labor hour

2. Calculate the overhead applied to production for the month of July.
\$

3. Calculate the overhead variance for the month of July.

Please comment for any queries... Thank you!!!

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