Application of Manufacturing Overhead
{"Image DocumentName": "Application of Manufacturing Overhead", "Image ImageDescription": "Based on estimates, and determined before the period begins. Overhead applied = POHR \u00d7 Actual activity. We calculate the predetermined overhead rate before the period begins. As we work on a particular job, we apply overhead by multiplying the predetermined rate times the actual level of activity. If overhead is applied on the basis of machine hours, we would apply overhead by multiplying the predetermined rate by the actual number of machine hours used on a particular job. This is called a normal costing system. Actual amount of allocation is based upon the actual level of activity (normal costing system).", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}