Part VI - Predetermined Manufacturing Overhead Rate -8 Points The Stinky Pajamas Company uses a predetermined...

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Part VI - Predetermined Manufacturing Overhead Rate -8 Points The Stinky Pajamas Company uses a predetermined manufacturing overhead rate to allocate overhead to individual jobs under a job order costing system. Fred Finkelstein, the CFO of Stinky Pajamas thinks overhead can be best allocated as a factor of Direct Labor hours. He has no idea, however, how to do this calculation. The following data relates to the Stinky Pajamas Company: Estimated overhead costs for the year Estimated direct labor hours for the year Actual Manufacturing overhead for the year Actual direct labor hours for the year 240,000 1,200,000 360,000 960,000 Compute the predetermined manufacturing overhead rate for the Stinky Pajamas Company USE ONLY THE SPACE PROVIDED BELOW!! Part VI - Predetermined Manufacturing Overhead Rate -8 Points The Stinky Pajamas Company uses a predetermined manufacturing overhead rate to allocate overhead to individual jobs under a job order costing system. Fred Finkelstein, the CFO of Stinky Pajamas thinks overhead can be best allocated as a factor of Direct Labor hours. He has no idea, however, how to do this calculation. The following data relates to the Stinky Pajamas Company: Estimated overhead costs for the year Estimated direct labor hours for the year Actual Manufacturing overhead for the year Actual direct labor hours for the year 240,000 1,200,000 360,000 960,000 Compute the predetermined manufacturing overhead rate for the Stinky Pajamas Company USE ONLY THE SPACE PROVIDED BELOW!!