anny Moldings has the following estimated costs for the upcoming year Direct mat
ID: 2342233 • Letter: A
Question
anny Moldings has the following estimated costs for the upcoming year Direct materials used Direct labor costs Salary of tactory sayisor Advertising expense Heating and lighting costs for factory Depreciation on factory equipment 25,800 962 600 $37,600 33,800 22,000 $5,600 $8,100 Sales comemissions The company estimates that 2,100 direct labor hours will be work.ed in the upcoming yea, while 2,700 machine hours will be used during the year. The predetermined manfacturing overhead rate per deect labor hour is closest to .$51 OD.$72 selecd your
Explanation / Answer
A. $31
The predetermined manufacturing overhead rate per direct labor hour is closest to:
= ($37,600 + $22,000 + $5,600) / 2,100
= $31
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