Question 15

Ortiz Company's manufacturing overhead budget shows total variable costs of $198,000 and total fixed costs of $162,000. Total production in units is expected to be 150,000. It takes 20 minutes to make one unit, and the direct labor rate is $15 per hour.

Question 15 Ortiz Company's manufacturing overhead budget shows total variable costs of $ 198,000 and total fixed costs of $ 162,000. Total production in units is expected to be 150,000. It takes 20 minutes to make one unit, and the direct labor rate is $ 15 per hour. Express the manufacturing overhead rate as (a) a percentage of direct labor cost, and (b) an amount per direct labor hour. ( Round manufacturing overhead rate as an amount per direct labor hour to 2 decimal places, e.g. 125.47.) (a) (b ) $