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Exercise F Different companies use different bases in computing their predetermined overhead rates. From the following estimated data, compute the predetermined rate to be used
Exercise F Different companies use different bases in computing their predetermined overhead rates. From the following estimated data, compute the predetermined rate to be used by each company: Company Paper Rock 100,000 210,000 125,000 DE 50,000 48,000 39,000 $800,000 $735,000 $410,00o Scissors Machine-hours Direct labor-hours Direct labor cost Manufacturing overhead cost $400,ooo $432,000 $375,000 Basis for determining predetermined overhead rate Company Basis Paper Rock Direct labor-hours Scissors Machine-hours Direct labor cost
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