Lane Company manufactures a single product that requires a great deal of hand labor. Overhead cost is applied on the basis of standard direct labor-hours. Variable manufacturing overhead should be $3.00 per standard direct labor-hour and fixed manufacturing overhead should be $735,000 per year.

The companys product requires 4 pounds of material that has a standard cost of $5.50 per pound and 1.5 hours of direct labor time that has a standard rate of $12.50 per hour.

The company planned to operate at a denominator activity level of 105,000 direct labor-hours and to produce 70,000 units of product during the most recent year. Actual activity and costs for the year were as follows:

Lane Company manufactures a single product that requires a great deal of hand labor. Overhead cost is applied on the basis of standard direct labor-hours. Variable manufacturing overhead should be $3.00 per standard direct labor-hour and fixed manufacturing overhead should be $735,000 per year. The company's product requires 4 pounds of material that has a standard cost of $5.50 per pound and 1.5 hours of direct labor time that has a standard rate of $12.50 per hour. The company planned to operate at a denominator activity level of 105,000 direct labor-hours and to produce 70,000 units of product during the most recent year. Actual activity and costs for the year were as follows Number of units produced 84,000 Actual direct labor-hours worked 136,500 259,350 Actual variable manufacturing overhead cost incurred 750,750 Actual fixed manufacturing overhead cost incurred Required: 1. Compute the predetermined overhead rate for the year. Break the rate down into variable and fixed elements. (Round your answers to 2 decimal places.) Predetermined overhead per DLH rate Variable rate per DLH Fixed rate per DLH