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Question 5 0 out of 2 points The Collins Company uses predetermined overhead rates to apply manufacturing overhead to jobs. The predetermined overhead rate




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Question 5 0 out of 2 points The Collins Company uses predetermined overhead rates to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labour cost in Dept. A and machine hours in Dept. B. At the beginning of the year, the company made the following estimates: Dept A Dept B Direct Labour cost 265,000 R42 000 Manufacturing overhead 91 000 48 000 Direct Labour hours 8 000 10 000 Machine hours 3 000 12 000 What predetermined overhead rates would be used in Dept A and Dept B, respectively? Selected Answer: 71% and R4.00 Answers: 71% and R4.00 140% and R4.00 140% and R4.80 71% and R4.80

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