Stuart Corporation expects to incur indirect overhead costs of $$84,750$ per month and direct manufacturing costs of $$17$ per unit. The expected production activity for the first four months of the year are as follows.

$\backslash$table$[[,$January February March April,,,$],[$Estimated production in units,$5,300,7,000,3,200,7,100]]$

Required $*$

a$.$ Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year.

b$.$ Allocate overhead costs to each month using the overhead rate computed in Requirement $a.$

c$.$ Calculate the total cost per unit for each month using the overhead allocated in Requirement $b.$

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Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year.

Predetermined overhead rate

per unit