Compute the predetermined overhead rate

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Question - Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow:

 

Basic

Dominator

Total

Units produced

950

400

1,350

Machine-hours

4,100

1,600

5,700

Direct labor-hours

3,100

1,700

4,800

Direct materials costs

$8,300

$3,250

$11,550

Direct labor costs

72,100

36,500

108,600

Manufacturing overhead costs 164,640

Total costs $284,790

Required - Compute the predetermined overhead rate assuming that Tiger Furnishings uses direct labor-hours to allocate overhead costs.

Reference no: EM132848452

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