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Alex17521 [72]
3 years ago
13

Midwest Corporation has provided the following data concerning manufacturing overhead for 2020:

Business
1 answer:
SSSSS [86.1K]3 years ago
4 0

Answer:

Estimated manufacturing overhead rate= $18 per direct labor hour

Explanation:

Giving the following information:

Estimated manufacturing overhead for the year $ 37,080

Estimated direct labor hours for the year 2,060

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 37,080/2,060

Estimated manufacturing overhead rate= $18 per direct labor hour

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Answer:

True

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