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Rist Corporation uses a predetermined overhead rate based on machine-hours to apply manufacturing ...

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Rist Corporation uses a predetermined overhead rate based on machine-hours to apply manufacturing ...

Rist Corporation uses a predetermined overhead rate based on machine-hours to apply manufacturing overhead to jobs. The Corporation estimated that it would incur $255,000 in manufacturing overhead during the year and that it would work 100,000 machine-hours. The Corporation actually worked 105,000 machine-hours and incurred $270,000 in manufacturing overhead costs. By how much was manufacturing overhead underapplied or overapplied for the year?

▸ $15,000 overapplied

▸ $15,000 underapplied

▸ $2,250 overapplied

▸ $2,250 underapplied

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Introduction to Managerial Accounting: Brewer Edition: 9e

Edition: 9^th

Authors: Brewer, Garrison, Noreen

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Thanks for your help!!

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