At the beginning of this year, a company estimated the following costs: direct materials, $180,400; direct labor, $155,600; and overhead, $245,848. At the end of this year, the company's work in process inventory was $29,600, which included $6,000 of direct labor cost. The company applies overhead on the basis of direct labor costs.

1. Compute the company's predetermined overhead rate for the year.

2. How much direct materials cost is included in work in process inventory at the end of the year?

Answer rating: 100% (QA)

1 To compute the predetermined overhead rate you can use the following formula Prede... View the full answer