it is estimated that its total manufacturing overhead would be $726,000 and the total direct labour would be 59,000 hours. Its actual total manufacturing overhead for the year was $993,400 and its total direct labour was 55,000 hours. Compute the company's predetermined overhead rate for the year.

it is estimated that its total manufacturing overhead would be $726,000 and the total direct labour would be 59,000 hours. Its actual total manufacturing overhead for the year was $993,400 and its total direct labour was 55,000 hours. Compute the company's predetermined overhead rate for the year.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 23Q: If a factory operates at 100% of capacity one month, 90% of capacity the next month, and 105% of...

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it is estimated that its total manufacturing overhead would be
$726,000 and the total direct labour would be 59,000 hours. Its
actual total manufacturing overhead for the year was $993,400 and
its total direct labour was 55,000 hours.
Compute the company's predetermined overhead rate for the
year.

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