Question: Fortify, Inc. uses a predetermined manufacturing overhead rate based on direct labor hours to apply its indirect product costs to jobs. The following information has

Fortify, Inc. uses a predetermined manufacturing overhead rate based on direct labor hours to apply its indirect product costs to jobs. The following information has been collected for the previous year: Direct materials $ 150,000 Direct labor 200,000 Sales commissions 100,000 Indirect labor 50,000 Rent on office equipment 25,000 Depreciation factory building 75,000 Utilities factory 125,000 Fortify used 25,000 direct labor hours and 50,000 machine hours during the previous year. What is the predetermined overhead rate per direct labor hour?

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