Flores Company$$s condensed flexible budget for manufacturing overhead is as follows:

Cost Formula Direct Labour$-$Hours

Overhead Costs $($per DLH$)30,00040,00050,000$

Variable manufacturing overhead cost $ $2\mathrm{.}50$ $ $75,000$ $ $100,000$ $ $125,000$

Fixed manufacturing overhead cost $320,000320,000320,000$

Total manufacturing overhead cost $ $395,000$ $ $420,000$ $ $445,000$

The company produces a single product that requires $2\mathrm{.}5$ direct labour$-$hours to complete. The direct labour wage rate is $$20$ per hour. Three metres of raw material are required for each unit of product, at a cost of $$5$ per metre.

Demand for the company$$s product differs widely from year to year. Expected activity for this year is $50,000$ direct labour$-$hours; normal activity is $40,000$ direct labour$-$hours per year.

Required:

$1.$ Assume that the company chooses $40,000$ direct labour$-$hours as the denominator level of activity. Compute the predetermined overhead rate, breaking it down into fixed and variable cost components. $($Round your answers to $2$ decimal places.$)$ solve for question $4$a $4$b and $4$c