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Skippy Company forecasts that total overhead for the current year will be $240,000 with 4,000 total machine hours. Year to date, the actual overhead is
Skippy Company forecasts that total overhead for the current year will be $240,000 with 4,000 total machine hours. Year to date, the actual overhead is $255,000 and the actual machine hours are 3,000 hours. The predetermined overhead rate based on machine hours is:
A)$85 per machine hour
B)$60 per machine hour
C)$3.75 per machine hour
D)$5 per machine hour
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