Compute what the predetermined manufacturing overhead rate

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The B-side Company allocates manufacturing overhead to jobs based on direct labor hours. The company has the following estimated costs for the upcoming? year:

Direct materials used             $50,200

Direct labor costs                 $70,500

Wages of factory janitors        $39,100

Sales supervisor salary          $52,000

Utilities for factory                $16,900

Rent on factory building         $13,000

Advertising expense                $5,690

The company estimates that 1,830 direct labor hours will be worked in the upcoming? year, while 1,700 machine hours will be used during the year.

Problem 1: The predetermined manufacturing overhead rate per direct labor hour will be?

Reference no: EM132668551

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