Green Company expected to incur $ 10 comma 500 in manufacturing overhead costs and use 5 comma 000 machine hours for the year. Actual manufacturing overhead was $ 9 comma 800 and the company used 5 comma 300 machine hours. 9. Calculate the predetermined overhead allocation rate using machine hours as the allocation base. 10. How much manufacturing overhead was allocated during the year?

Estimated manufacturing overhead rate= 10,500/5,000= $2.1 per machine hour

Allocated MOH= $11,130

Explanation:

Giving the following information:

Estimated overhead costs= $10,500

Estimated machine-hours= 5,000

Actual machine-hours= 5,300 machine hours.

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 10,500/5,000= $2.1 per machine hour

Now, we can allocate overhead based on actual machine-hours:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 2.1*5,300= $11,130

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.