Compute the company predetermined overhead rate for year

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Problem - Logan Products computes its predetermined overhead rate annually on the basis of machine-hours. At the beginning of the year, it estimated that its total manufacturing overhead would be $355,500 and machines would be run a total of 23,500 hours. Its actual total manufacturing overhead for the year was $343,400 and its actual total machine-hours was 23.000 hours.

Required - Compute the company's predetermined overhead rate for the year, calculate the total overhead applied, and determine the amount of under- or overapplied overhead in the year.

Reference no: EM132729544

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