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Managerial Accounting

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Moderate

Solve for Pounds of Materials Used Given Overhead Details

MGRACT-BQ4E1R

Scram Inc. estimates their manufacturing overhead based on the pounds of direct materials used. In the current year, the predetermined overhead rate is \$1.50 per pound of direct material used. The month end journal entry to record the production activity included the following:

Journal entry: DEBIT CREDIT
Work in Process \$45,000
Manufacturing Overhead Control \$45,000


Actual overhead was $42,500. What was the amount of materials used during the month?