Business, 18.02.2020 01:58 jacqueline398

Bolander Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data:
Total machine-hours 70,000
Total fixed manufacturing overhead cost $294,000
Variable manufacturing overhead per machine-hour $2.30
Recently, Job M825 was completed with the following characteristics:
Number of units in the job 20
Total machine-hours 80
Direct materials $665
Direct labor cost $1,840
The predetermined overhead rate is closest to:

a. $8.80 per machine-hour
b. $6.50 per machine-hour
c. $2.30 per machine-hour
d. $4.20 per machine-hour

Answers: 1

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Bolander Corporation uses a job-order costing system with a single plantwide predetermined overhead...

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