1.

An allocation base is defined as the measure used to assign overhead costs to products and
services. The most commonly used allocation bases are direct-labor hours, direct labor cost,
units of product (if there is only one product made) or machine hours.
IN SERVICE BUSINESSES USING JOB ORDER COSTING
2. Both labor and overhead cost

BASED PO SA FORMULA IN CALCULATING DIRECT LABOR HOURS INCLUDED PO DUN

YUNG LABOR AND OVERHEAD COST.
3. Machine hours. Machine hours would more closely reflect the usage of the automated equipment.
YUNG ANSWER PO IS MACHINE HOURS, KASI DOON PO MAG REREFLECT KUNG GAANO KATAGAL YUNG
PAGGAMIT NG ISANG AUTOMATED EQUIPMENT SA ISANG PRODUCTION.
4. overapplied overhead would result if: overhead costs incurred were less than overhead costs charged to
production.
MATATAWAG NA OVERAPPLIED YUNG FACTORY OVERHEAD IF MAS MABABA YUNG
OVERHEAD COST INCURRED SA OVERHEAD COST CHARGED.
5. Work-in-process control.

The entry to record the application of factory overhead to specific jobs is to charge WIP control and credit factory
overhead applied (or factory overhead control) using a predetermined overhead rate. The effect is to increase the
WIP control account.
YUNG ANSWER KO PO IS INCREASE IN WORK IN PROCESS CONNTROL
6.Manufacturing OH Cost
   Indirect materials                                  P 5,000
     Indirect labor (45,000 - 40,000)            5,000
     Other overhead                                         20,000
     Total overhead                        P 30,000