question archive Required information A manufacturer of industrial equipment has a standard costing system based on machine hours (MHs) as the measure of activity
Required information A manufacturer of industrial equipment has a standard costing system based on machine hours (MHs) as the measure of activity
Subject:AccountingPrice: Bought3
Required information
A manufacturer of industrial equipment has a standard costing system based on machine hours (MHs) as the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below:
Denominator Level of Activity39,00 MHsOverhead Costs at the Denominator Activity Level: Variable Overhead Cost$33,345Fixed Overhead Cost$61,425
The following data pertain to operations for the most recent period:
Actual Hours3,900 MHsStandard Hours Allowed for the Actual Output3,952 MHsActual Total Variable Overhead Cost$32,565Actual Total Fixed Overhead Cost$60,675
What was the total predetermined overhead rate, rounded to the nearest cent?
