question archive 1) Harris Fabrics computes its predetermined overhead rate annually on the basis of direct labor-hours
Subject:AccountingPrice: Bought3
1) Harris Fabrics computes its predetermined overhead rate annually on the basis of direct labor-hours. At the beginning of the year, it estimated that 42,000 direct labor-hours would be required for the periodAc€?cs estimated level of production. The company also estimated $592,000 of fixed manufacturing overhead expenses for the coming period and variable manufacturing overhead of $2.00 per direct labor-hour. Harris's actual manufacturing overhead for the year was $749,923 and its actual total direct labor was 42,500 hours. |
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Compute the company's predetermined overhead rate for the year. (Round your answer to 2 decimal places.) |
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