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Saved Help Exercise 1-36 (Ago) Fredeterminea uverneaa Rates: ernical issues (LU 1-3, 5) Marine Components produces parts for airplanes and ships. The parts are produced

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Saved Help Exercise 1-36 (Ago) Fredeterminea uverneaa Rates: ernical issues (LU 1-3, 5) Marine Components produces parts for airplanes and ships. The parts are produced to specification by their customers, who pay either a fixed price (the price does not depend directly on the cost of the job) or price equal to recorded cost plus a fixed fee (cost plus). For the upcoming year (year 2), Marine expects only two clients (client 1 and client 2). The work done for client will all be done under fixed-price contracts while the work done for client 2 will all be done under cost-plus contracts. Manufacturing overhead for year 2 is estimated to be $15 million Other budgeted data for year 2 include the following Client 1 Client 2 Machine-hours (thousands) 3,000 3,000 Direct labor cost (5000) $2,400 $ 9,600 Required: a. Compute the predetermined rate assuming that Marine Components uses machine-hours to apply overhead, b. Compute the predetermined rate assuming that Marine Components uses direct labor cost to apply overhead. Complete this question by entering your answers in the tabs below. Required A Required B Compute the predetermined rate assuming that Marine Components uses machine-hours to apply overhead. (Round your answer to 2 decimal places.) Applicabon rate per machine hour Required > plus). For the upcoming year (year 2), Marine expects only two clients (client 1 and client 2). The work done for under fixed price contracts while the work done for client 2 will all be done under cost-plus contracts Manufacturing overhead for year 2 is estimated to be $15 million. Other budgeted data for year 2 include the f Client 1 Cuient 2 Machine-hours (thousands) 3,000 3,000 Direct labor cost (5000) $2,400 $ 9,600 ook Tences Required: a. Compute the predetermined rate assuming that Marine Components uses machine-hours to apply overhea b. Compute the predetermined rate assuming that Marine Components uses direct labor cost to apply overhe Complete this question by entering your answers in the tabs below. Required A Required B Compute the predetermined rate assuming that Marine Components uses direct labor cost to apply overhead. Application rate % of direct labor cost W :: atv A

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