Helland Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data:   Total direct labor-hours 30,000 Total fixed manufacturing overhead cost $ 189,000 Variable manufacturing overhead per direct labor-hour $ 2.50 The predetermined overhead rate is closest to: $2.50 per direct labor-hour $11.30 per direct labor-hour $6.30 per direct labor-hour $8.80 per direct labor-hour

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Chapter1: Financial Statements And Business Decisions
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Helland Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data:

 



Total direct labor-hours 30,000
Total fixed manufacturing overhead cost $ 189,000
Variable manufacturing overhead per direct labor-hour $ 2.50

The predetermined overhead rate is closest to:
$2.50 per direct labor-hour
$11.30 per direct labor-hour
$6.30 per direct labor-hour
$8.80 per direct labor-hour

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