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attashe74 [19]
4 years ago
9

Cacioppo 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 66,000 labor-hours. The estimated variable manufacturing overhead was $7.45 per labor-hour and the estimated total fixed manufacturing overhead was $1,760,220. The actual labor-hours for the year turned out to be 63,800 labor-hours.The predetermined overhead rate for the recently completed year was closest to:
Business
1 answer:
iogann1982 [59]4 years ago
5 0

Answer:

$34.12

Explanation:

Fixed Overhead Rate = Estimated total fixed manufacturing overhead ÷ estimated the labor-hours for the upcoming year

                                    = $1,760,220 ÷ 66,000

                                    = $26.67 per labor-hour

Predetermined Overhead Rate:

= Variable Overhead Rate + Fixed Overhead Rate

= $7.45 per labor-hour + $26.67 per labor-hour

= $34.12

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If a society moves from a period of time with significant unemployment to a time with full employment, its production possibilit
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