Question
Carey Company applies manufacturing overhead costs to products as a percentage of direct labor dollars. Estimated and actual values of manufacturing overhead and direct labor
Carey Company applies manufacturing overhead costs to products as a percentage of direct labor dollars. Estimated and actual values of manufacturing overhead and direct labor costs are summarized here:
| Estimated | Actual | |
|---|---|---|
| Direct labor cost | $ 470,000 | $ 420,000 |
| Manufacturing overhead | 888,300 | 813,300 |
Required:
Compute the predetermined overhead rate. (in Percentage %)
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Using Financial Accounting Information The Alternative to Debits and Credits
Authors: Gary A. Porter, Curtis L. Norton
7th Edition
978-0-538-4527, 0-538-45274-9, 978-1133161646
