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Sagot :
Manufacturing balance sheet is applied to production based on a pre-determined overhead rate which is calculated as follows:
Pre-determined overhead rate = Estimated total manufacturing overhead /Estimated allocation base
Given: Estimated manufacturing overhead = $270,000
Estimated allocation base (Estimated camera-hours) = 6,000
Pre-determined overhead rate = $270,000/6,000 = $45 per camera hour
Based on 7,800 actual camera hours,manufacturing overhead applied would be : $45 * 7,800 = $351,000
If the balance sheet amount of manufacturing overhead applied ($351,000), exceeds the amount of actual manufacturing overhead costs incurred ($335,625), the manufacturing overhead account will have a credit balance. This credit is described as overapplied overhead.
Thus, studio(manufacturing) overhead is overapplied by $15,375
The entry to close overapplied overhead to cost of goods sold is as follows:
Learn more about the balance sheet here:-https://brainly.com/question/1113933
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