Question: Compute the total overhead that should be assigned to the medical - testing agent order. What is the overhead cost per box of testing agent?

Compute the total overhead that should be assigned to the medical-testing agent order.
What is the overhead cost per box of testing agent?
Suppose Tulsa Medical Supply Company were to use a single predetermined overhead rate based on machine hours. Compute the rate per hour.
Under the approach in requirement 3, how much overhead would be assigned to the medical-testing agent order?
In total.Per box of testing agent.
Ontarios selling prices are based heavily on cost.
By using direct-labor hours as an application base, which product is overcosted and which product is undercosted? Calculate the amount of the cost distortion for each product.
Is it possible that overcosting and undercosting (i.e., cost distortion) and the subsequent determination of selling prices are contributing to the companys profit woes?

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