Jameson company uses a predetermined overhead rate based on

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Jameson Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. The company has provided the following estimated costs for the next year: Direct materials $5,000 Direct labor $19,000 Rent of factory building $16,000 Sales salaries $24,000 Depreciation on factory equipment $7,000 Indirect labor $11,000 Production supervisor's salary $14,000 Jameson estimates that 24,000 direct labor hours will be worked during the year. The predetermined overhead rate per hour will be:

Reference no: EM13569808

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