Answer:
1. Predetermined overhead rate = 9.50 per machine hour
2. Total manufacturing cost = $1040
3. Unit product cost = $20
4. Selling price per unit = $44
Explanation:
1. Fixed predetermine overhead rate
=![\frac{Variable\ manufacturing\ overhead\ cost }{Fixed\ manufacturing\ overhead\ cost}](https://tex.z-dn.net/?f=%5Cfrac%7BVariable%5C%20manufacturing%5C%20overhead%5C%20cost%20%7D%7BFixed%5C%20manufacturing%5C%20overhead%5C%20cost%7D)
= ![\frac{650000}{100000}](https://tex.z-dn.net/?f=%5Cfrac%7B650000%7D%7B100000%7D)
= 6.5 per machine hour
Variable predetermine overhead rate
= 3 per machine hour
Total predetermine overhead rate
= Fixed predetermine overhead rate + Variable predetermine overhead rate
= (6.5+3)
= 9.50 per machine hour
2. Total manufacturing cost
= Direct material cost + Direct labor cost + Manufacturing overhead
== Direct material cost + Direct labor cost + machine hours used × overhead rate
= 450 + 210 + (40 × 9.5)
= $1040
3. Unit product cost
= ![\frac{ Total\ manufacturing\ cost}{Number\ of\ units}](https://tex.z-dn.net/?f=%5Cfrac%7B%20Total%5C%20manufacturing%5C%20cost%7D%7BNumber%5C%20of%5C%20units%7D)
= ![\frac{1040}{52}](https://tex.z-dn.net/?f=%5Cfrac%7B1040%7D%7B52%7D)
= 20
4. Selling price per unit
= Unit product cost + (Unit product cost × markup percentage)
= 20 + (20 × 1.2)
= 20 + 24
= $44