Waldman Pools manufactures swimming pool equipment. Waldman estimates total manufacturing overhead costs next year to be $1,200,000. Waldman also estimates it will use 50,000 direct labor hours and incur $1,000,000 of direct labor cost next year. In addition, the machines are expected to be run for 40,000 hours. Compute the predetermined manufacturing overhead rate for next year under the following independent situations: 1. Assume that the company uses direct labor hours as its manufacturing overhead allocation base. 2. Assume that the company uses direct labor cost as its manufacturing overhead allocation base. 3. Assume that the company uses machine hours as its manufacturing overhead allocation base. 1. Compute the predetermined manufacturing overhead rate for next year assuming that the company uses direct labor hours as its manufa uring overhead allocation base. Identify the formula and compute the predetermined manufacturing overhead rate for next year using direct labor hours as the manufacturing overhead allocation base. Predetermined manufacturing overhead rate per DL hour 2. Compute the predetermined manufacturing overhead rate for next year assuming that the company uses direct labor cost as its manufacturing overhead allocation base. Identify the formula and compute the predetermined manufacturing overhead rate for next year using direct labor cost as the manufacturing overhead allocation base. (Enter the rate as a whole percent.) Predetermined manufacturing overhead rate % of DL cost 3. Compute the predetermined manufacturing overhead rate for next year assuming that the company uses machine hours as its manufacturing overhead allocation base. Waldman Pools manufactures swimming pool equipment. Waldman estimates total manufacturing overhead costs next year to be $1,200,000. Waldman also estimates it will use 50,000 direct labor hours and incur $1,000,000 of direct labor cost next year. In addition, the machines are expected to be run fc 40,000 hours. Compute the predetermined manufacturing overhead rate for next year under the following independent situations: 1. Assume that the compuses direct labor hours as its manufacturing overhead allocation base. 2. Assume that the company uses direct lab cost as its manufacturing overhead allocation base. 3. Assume that the company uses machine hours as its manufacturing overhead allocation base. overhead rate per DL hour 2. Compute the predetermined manufacturing overhead rate for next year assuming that the company uses direct labor cost as its manufacturing overhead allocation base. Identify the formula and compute the predetermined manufacturing overhead rate for next year using direct labor cost as the manufacturing overhead allocation base. (Enter the rate as a whole percent.) Predetermined manufacturing overhead rate % of DL. cost 3. Compute the predetermined manufacturing overhead rate for next year assuming that the company uses machine hours as its manufacturing overhead allocation base Identify the formula and compute the predetermined manufacturing overhead rate for next year using machine hours as the manufacturing overhead allocation base Predetermined manufacturing overhead rate per machine hr Waldman Pools manufactures swimming pool equipment. Waldman estimates total also estimates it will use 50,000 direct labor hours and incur $1,000,000 of direct lab 40,000 hours. Compute the predetermined manufacturing overhead rate for next year under the follo 1. Assume that the company uses direct labor hours as its manufacturing overhead a 2. Assume that the company uses direct labor cost as its manufacturing overhead alla 3. Assume that the company uses machine hours as its manufacturing overhead alloc 1. Compute the predetermined manufacturing overhead rate for next year assuming tha overhead allocation base. Identify the formula and compute the predetermined manufacturing overhead rate for ne allocation base. a erhead rate for next year assuming that th Actual direct labor hours 2 Actual manufacturing costs Estimated direct labor hours Ic Estimated machine hours Estimated manufacturing overhead costs a hed manufacturing overhead rate for next y nt.) 3. Compute the predetermined manufacturing overhead rate for allocation base
