If annual overhead costs are expected to be 800000 and

Reference no: EM13572184

If annual overhead costs are expected to be $800,000 and direct labor costs are expected to be $1,000,000, then if the activity base is direct labor costs:$1.25 is the predetermined overhead rate.for every dollar of manufacturing overhead, 80 cents of direct labor will be assigned.for every dollar of direct labor, 80 cents of manufacturing overhead will be assigned.a predetermined overhead rate cannot be determined.

Reference no: EM13572184

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