Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine-hours required to support estimated production 200,000
Fixed manufacturing overhead cost $2,800,000
Variable manufacturing overhead cost per machine-hour $2.00

Required:
a. Compute the plantwide predetermined overhead rate.
b. During the year, Job P90 was started, completed, and sold to the customer for $3,200.