$1$

$01$:$25-23$

Brothern Corporation bases its predetermined overhead rate on the estimated machine$-$hours for the upcoming year. Data for the most recently completed year appear below:

Estimates made at the beginning of the year:

Estimated machine$-$hours

Estimated variable manufacturing overhead

Estimated total fixed manufacturing overhead

Actual machine$-$hours for the year

$37,800$

$$5\mathrm{.}91$ per machine$-$hour

$$795,690$

$34,000$

The predetermined overhead rate for the recently completed year was closest to:

Multiple Choice

$$26\mathrm{.}37$ per machine$-$hour

$$26\mathrm{.}96$ per machine$-$hour

$$5\mathrm{.}91$ per machine$-$hour

$$21\mathrm{.}05$ per machine$-$hour