Question
Acton Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations. Estimated manufacturing
Acton Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations.
Estimated manufacturing overhead | $139,080 |
Estimated machine-hours | 3,800 |
Actual manufacturing overhead | $137,000 |
Actual machine-hours | 3,780 |
The predetermined overhead rate is closest to: The estimates of the manufacturing overhead and of machine-hours were made at the beginning of the year for the purpose of computing the company's predetermined overhead rate for the year.
A. | $36.60 | ||
B. | $36.41 | ||
C. |
| ||
D. | $36.05 |
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