Estimated manufacturing overhead 2004 240000Estimated machine hours 2004 12000Direct labor cost sept. 8000Direct materials cost sept. 5000Supervisors salary sept. 3000Factory rent sept 1800Factory utilities sept 800Indirect materials cost sept 2000Machine hours worked sept 400During sept. 500 pairs of boots were produced.a. using actual costing what is the unit cost of one pair of boots produced during sept?b.
using normal costing with machine hours as the activity base what is
the unit cost of one pair of boots produced during sept?c. if normal costing is used was manufacturing overhead over or underapplied during sept.? by how much?d. what might have caused the amount of overhead applied to be different from the actual amount?e. why would managers at rocky mountain choose to use normal costing rather than actual costing.