Answer:
Predetermined manufacturing overhead rate= 0.788
Explanation:
Giving the following information:
Estimated manufacturing overhead $259,650
Factory utilities $30,200
Estimated labor hours 35,000
Indirect labor $22,400
Actual direct labor hours 36,000
Sales commissions $53,700
Estimated direct labor cost $329,600
Factory rent $47,700
Actual direct labor cost $320,600
Factory property taxes $28,100
Factory depreciation $65,400
Indirect materials $33,000
Predetermined manufacturing overhead rate= total estimated manufacturing overhead/ total amount of allocation base
Predetermined manufacturing overhead rate= 259650/329600
Predetermined manufacturing overhead rate= 0.788
