Actual costing normal costing accounting for manufactur

    Actual costing normal costing accounting for manufacturing overhead. Destin Products uses a job-costing system with two direct-cost categories (direct materials and direct manufacturing labor) and one manufacturing overhead cost pool. Destin allocates manufacturing overhead costs using direct manufacturing labor costs. Destin provides the following information:
    Budget for 2011 Actual Results for 2011
    Direct material costs $2000000 $1900000
    Direct manufacturing labor costs 1500000 1450000
    Manufacturing overhead costs 2700000 2755000
    Compute the actual and budgeted manufacturing overhead rates for 2011.
    During March the job-cost record for Job 626 contained the following information:
    Direct materials used $40000
    Direct manufacturing labor costs $30000
    Compute the cost of Job 626 using (a) actual costing and (b) normal costing.
    At the end of 2011 compute the under- or overallocated manufacturing overhead under normal costing. Why is there no under- or overallocated overhead under actual costing?
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