Multiple choice 7. Metro Corporation uses a predetermined overhead rate of P20 per machinehour. In deriving this figure, the company's accountant used:a denominator of budgeted machine hours for the current accountingperiod.b. a denominator of actual machine hours for the current accountinga.period.a denominator of actual machine hours for the previous accountingperiod.d. a numerator of budgeted machine hours for the current accountingperiod.C.8. Sebastian Company applies overhead based on direct labor hours. At thebeginning of 2020, the company estimated that manufacturing overheadwould be P500,000, and direct labor hours would be 10,000. Actualoverhead by the conclusion of 2020 amounted to P400,000. On the basis ofthis information, Sebastian 2020 predeterhed overhead rate is: |CHAPTER 101 INTRODUCTION TO MANUFACTURING BUSINEPO.02 per direct labor hour.a.b. PO.025 per direct labor hour.P40 per direct labor hour.d. P50 per direct labor hour.C.

Predetermined Overhead Rate: It is possible to compute the predetermined overhead rate by dividing…

7. Metro Corporation uses a predetermined overhead rate of P20 per machine hour. In deriving this figure, the company's accountant used: a denominator of budgeted machine hours for the current accounting period. b. a denominator of actual machine hours for the current accounting a. period. a denominator of actual machine hours for the previous accounting C. period. d. a numerator of budgeted machine hours for the current accounting period.

7. Metro Corporation uses a predetermined overhead rate of P20 per machine hour. In deriving this figure, the company's accountant used: a denominator of budgeted machine hours for the current accounting period. b. a denominator of actual machine hours for the current accounting a. period. a denominator of actual machine hours for the previous accounting C. period. d. a numerator of budgeted machine hours for the current accounting period.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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