Michael s company uses a single predetermined overhead rate using direct labor hours as the allocation base
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Question:
Michaels company uses a single predetermined overhead rate using direct labor hours as
the allocation base driver
a Calculate the Predetermined Overhead Rate given the following information:
Total Estimated Manufacturing Overhead Cost $
Total Estimated Direct Labor Hours DLH
Wage rate for direct labor employees $ hour
b The following information was recorded for Job XE:
Total Direct Materials Cost $
Total Direct Labor Hours @ $ per hour
Purchase Orders issued
Tests conducted
How much overhead was allocated applied to Job XE using a single overhead rate.
c What is the product cost per unit for Job X if units were produced?
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