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    Manufacturing Overhead - Chesapeake Bay Co.

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    The Chesapeake Bay Company, Inc. uses a predetermined overhead rate based on direct labor cost to apply manufacturing overhead to jobs. For the year ended December 31, 2009, the company's estimated manufacturing overhead was $600,000, based on an estimated volume of 50,000 direct labor hours, at a direct labor rate of $6.00 per hour. Actual manufacturing overhead amounted to $620,000, with actual direct labor cost of $325,000. What was the manufacturing overhead for the year?

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    https://brainmass.com/business/accounting/manufacturing-overhead-chesapeake-bay-483161

    Solution Preview

    Budgeted DL cost = 50000*6 = $300,000

    Predetermined Overhead ...

    Solution Summary

    The solution computes the Manufacturing Overhead for Chesapeake Bay Company, Inc.

    $2.19

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