Predetermined office overhead rate per billable labor hour

Reference no: EM13145232

The following information has been gathered for Cheatham Law Offices for its fiscal year ending December 31:

Actual office overhead costs $1,275,500
Actual billable labor hours 44,600
Actual billable labor cost $3,960,000
Estimated office overhead costs $1,080,000
Estimated billable labor hours 48,000
Estimated billable labor costs $4,320,000

What is the predetermined office overhead rate per billable labor hour?

A. $28.60
B. $26.57
C. $22.50
D. $24.22

Reference no: EM13145232

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