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For a printing company: (Based on 500 jobs this year) Average Cost Rate Average hours per new bid Average hours per contract jobs Annual total

For a printing company:

(Based on 500 jobs this year)

Average Cost Rate Average hours per new bid Average hours per contract jobs Annual total of all jobs
Direct Labour

Design Team

$95/hour 18 5 7,375 hours
Layout $75/hour 6 4 2,750 hours
Printing Labour $25/hour 50 90 30,000 hours
40,125 hours
Direct Materials Average cost rate average per new bid average per contract job annual total
Paper Costs $10/lbs 800 lbs 1200 lbs 450,000 lbs

Total Manufacturing Overhead - $1,007,000

What is the predetermined overhead rate?

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