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ivolga24 [154]
3 years ago
7

O.K. Company uses a job order cost accounting system and allocates its overhead on the basis of direct labor costs. O.K. expects

to incur $2,000,000 of overhead during the next period and expects to use 50,000 labor hours at a cost of $10.00 per hour. What is O.K. Company's overhead application rate
Business
1 answer:
Vlada [557]3 years ago
7 0

Answer:

Predetermined manufacturing overhead rate= $0.4 per direct labor dollar

Explanation:

Giving the following information:

O.K. expects to incur $2,000,000 of overhead during the next period and expects to use 50,000 labor hours for $10.00 per hour.

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

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

Predetermined manufacturing overhead rate= 2,000,000/ (50,000*10)

Predetermined manufacturing overhead rate= $0.4 per direct labor dollar

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A. The grocery department of a Walmart Supercenter or Target Superstore

Explanation:

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What purpose does tesla serve in the economy?
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Assume that in the year 2010, the US Nominal GDP was $15 trillion, while the GDP deflator was 200. Calculate the US Real GDP for
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Assume that in the year 2010, the US Nominal GDP was $15 trillion, while the GDP deflator was 200. US Real GDP for 2010 is 7.5%.

<h3>Real GDP</h3>

Using this formula

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