For Eckstein Company, the predetermined overhead rate is 140% of direct labor cost. During the month, Eckstein incurred $101,300 of factory labor costs, of which $83,500 is direct labor and $17,800 is indirect labor. Actual overhead incurred was $121,639.
Compute the amount of manufacturing overhead applied during the month. Determine the amount of under- or overapplied manufacturing overhead.
Manufacturing overhead applied |
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OverappliedUnderapplied manufacturing overhead |
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$![](https://edugen.wileyplus.com/edugen/art2/common/pixel.gif)
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