Evaluate the predetermined overhead ratelogan products

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Reference no: EM13351442

Evaluate the Predetermined Overhead Rate

Logan Products computes its pre-evaluated overhead rate annually on the basis of direct labor hours. At the starting of the year, it estimated that 28,000 direct labor-hours would be needed for the period's estimated level of production. The company also evaluated $578,000 of fixed manufacturing overhead expenses for the coming period and variable manufacturing overhead of $4.00 per direct labor-hour. Logan's actual manufacturing overhead for the year was $749,346 and its real total direct labor was 28,500 hours.

Required:

Evaluate the company's predetermined overhead rate for the year

Reference no: EM13351442

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