Henkes Corporation bases its predetermined overhead rate on the estimated labor-hours for the upcoming year At the beginning of the most recently completed year, the company estimated the labor-hours for the upcoming year at 75.000 labor-hours. The estimated variable manufacturing overhead was $7.10 per labor-hour and the estimated total fixed manufacturing overhead was $1.372.500 The actual labor-hours for the year turned out to be 77,000 labor-hours. Required: Compute the company's predetermined overhead rate for the recently completed year (Round your answer to 2 decimal places.) Predelermined overhead rate per labor-hour
Henkes Corporation bases its predetermined overhead rate on the estimated labor-hours for the upcoming year At the beginning of the most recently completed year, the company estimated the labor-hours for the upcoming year at 75.000 labor-hours. The estimated variable manufacturing overhead was $7.10 per labor-hour and the estimated total fixed manufacturing overhead was $1.372.500 The actual labor-hours for the year turned out to be 77,000 labor-hours. Required: Compute the company's predetermined overhead rate for the recently completed year (Round your answer to 2 decimal places.) Predelermined overhead rate per labor-hour
Chapter4: Job Order Costing
Section: Chapter Questions
Problem 11PA: When setting its predetermined overhead application race, Tasty Box Meals estimated its overhead...
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