acc301 escatel corporation bases its predetermined overhead rate on the estimated la 492069
Escatel Corporation bases its predetermined overhead rate on the estimated labor hours for the upcoming year. Data for the most recently completed year appear below.
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acc301 escatel corporation bases its predetermined overhead rate on the estimated la 492069
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Estimates made at the beginning of the year : |
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Estimated labor hours |
24,000 |
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Estimated variable manufacturing overhead |
$6.86 per labor hour |
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Estimated total fixed manufacturing overhead |
$394,560 |
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Actual labor hours for the year |
24,500 |
Required:
Compute the company’s predetermined overhead rate for the recently completed year.
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