Macquarie manufacturing ltd prepare the following planned production data for the forthcoming year ending 30 June 2021

Direct Materials $648,000

Direct Labor costs 324,000

Factory overheads $1,296,00

Direct labor hours required 20,250hours

machine hours required 432000 hours

units of completed production 1,800,000 units

Required:

A. Calculate the predetermined factory overhead rate based on each of the following: direct materials cost, direct labor cost, direct labor hours,machine hours and units production.

B. The following data relate to Job 6543, which was completed during the year; materials costs$280, direct labor costs $720, direct labor hours 45, machine hours used 1200. Job 6543 consisted of 400 identical units. Determine the amount of factory overhead that would have been assigned to Job 6543 using each of the bases given in requirement A. Calculate the cost per unit for Job 6543 using each of the factory overhead bases.

C. Which overhead rate is the most appropriate and why.