Compute the budgeted manufacturing overhead rate

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Question - A law office employs full-time attorneys and five paraprofessionals. For the current year indirect costs were budgeted at $225,000, but actually amounted to $350,000. Direct and indirect costs are applied on a professional labour-hour basis which includes both attorney and paraprofessional hours. Total budgeted labour-hours were 25,000; however, actual labour-hours were 30,000. Compute the budgeted manufacturing overhead (MOH) rate?

Reference no: EM133060065

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