Homework Answers
Predetermined overhead rate
Overhead rate per direct labor cost = Manufacturing overhead cost/ direct labor cost
= $ 869440/ $494000
= $ 1.76
Overhead rate per direct labor hour = manufacturing ovehead cost / direct labor hours
= $869,440 / 49400
= $17.6
Overhead rate per machine hour = Manufacturing overhead cost / machine hours
= $869,440/ 98,800
= $8.8
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