Question: Nelson Company Has Following FOH Detail. 
Budgeted (`) Actual (`)
Production Fixed Overheads 36,000 39,000 
Production Variable Overheads 9,000 12,000 
Direct Labor Hours 18,000 20,000
a. Under applied by `1,000
b. Over applied by ` 1,000
c. Under applied by ` 11,000
d. Over applied by ` 38,000

Show Answer

Under applied by `1,000
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