Question

Use the following information to compute the POHR for ABC, Inc for 20x2: Actual Manu OH for 20x1 = $120,000 Estimated Manu oh for 20x2 is estimated to be 25% higher or $150,000 Actual Manu OH for 20x2 is $160,000 Cost driver is DL hours and the 20x2 estimate is 100,000 Actual DL hours for 20x2 is 110,000 a) $1.20 per DL hour. b) $1.50 per DL hour. C) $1.60 per DL hour d) $1.36 per DL hour.

          Use the following information to compute the POHR for ABC, Inc for 20x2:
Actual Manu OH for 20x1 = $120,000
Estimated Manu oh for 20x2 is estimated to be 25% higher or $150,000
Actual Manu OH for 20x2 is $160,000
Cost driver is DL hours and the 20x2 estimate is 100,000
Actual DL hours for 20x2 is 110,000
a) $1.20 per DL hour.
b) $1.50 per DL hour.
C) $1.60 per DL hour
d) $1.36 per DL hour.

Use the following information to compute the POHR for ABC, Inc for 20x2:
Actual Manu OH for 20x1 = 120,000
Estimated Manu oh for 20x2 is estimated to be 25% higher or $150,000
Actual Manu OH for 20x2 is160,000
Cost driver is DL hours and the 20x2 estimate is 100,000
Actual DL hours for 20x2 is 110,000
a) 1.20 per DL hour.
b)1.50 per DL hour.
C) 1.60 per DL hour
d)1.36 per DL hour.

Added by Adriana B.

Horngren’s Cost Accounting

Srikant M. Datar, Madhav V. Rajan 16th Edition

Instant Answer

Solved by Expert Supreeta N

04/25/2023

Step 1

POHR = Estimated Manu OH / Estimated cost driver POHR = $150,000 / 100,000 DL hours POHR = $1.50 per DL hour Show more…

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Use the following information to compute the POHR for ABC, Inc for 20x2: Actual Manu OH for 20x1 = $120,000 Estimated Manu OH for 20x2 is estimated to be 25% higher or $150,000 Actual Manu OH for 20x2 is $160,000 Cost driver is DL hours and the 20x2 estimate is 100,000 Actual DL hours for 20x2 is 110,000 a) $1.20 per DL hour. b) $1.50 per DL hour. c) $1.60 per DL hour. d) $1.36 per DL hour.