Determine the predetermined overhead rate. At the beginning of the accounting period, BOB's estimated that production would
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Question:
Determine the predetermined overhead rate.
At the beginning of the accounting period, BOB's estimated that production would be 150,000 units. Our predetermined factory overhead rate is based on an estimated FOH of $30,000. This information is to be used to determine the application rate for overhead.
Estimated and actual direct labor costs totaled $88,775.
Actual factory overhead costs totaled $27,000.
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