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Question 2 (Total: 14 marks) CLAW Corporation is a manufacturer of industrial equipment, located in Toronto, Ontario. CLAW has a standard costing system based on
Question 2 (Total: 14 marks) CLAW Corporation is a manufacturer of industrial equipment, located in Toronto, Ontario. CLAW has a standard costing system based on direct labour hours (DLHs) as the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below: Denominator Level of Activity 9,000 DLHs Overhead Costs at the Denominator Activity Level: Variable Overhead Cost $90,700 Fixed Overhead Cost $102,800 The following data pertains to operations for the most recent period: Actual Hours 7,800 DLHs Standard Hours Allowed for the Actual Output 7,765 DLHs Actual Total Variable Overhead Cost $54,210 Actual Total Fixed Overhead Cost $100,200 Required: 1. What was the total predetermined overhead rate? 2. How much overhead was applied to products during the period
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