Quick Step Company is debating the use of direct labor cost or direct labor hours as...

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Quick Step Company is debating the use of direct labor cost or direct labor hours as the cost allocation base for allocating manufacturing overhead. The following information is available for the most recent year: Estimated direct labor cost $500,000 Actual direct labor cost $465.200 Estimated manufacturing overhead costs Actual manufacturing overhead costs Estimated direct labor hours $425,500 $350,400 253,300 Actual direct labor hours 236.800 If Quick Step Company uses direct labor hours as the allocation base, what would the predetermined manufacturing overhead rate be? (Round your answer to the nearest cent.) O A. $1.80 per direct labor hour O B. $1.38 per direct labor hour O C. $1.68 per direct labor hour O D. $1.48 per direct labor hour Quick Step Company is debating the use of direct labor cost or direct labor hours as the cost allocation base for allocating manufacturing overhead. The following information is available for the most recent year: Estimated direct labor cost $500,000 Actual direct labor cost $465.200 Estimated manufacturing overhead costs Actual manufacturing overhead costs Estimated direct labor hours $425,500 $350,400 253,300 Actual direct labor hours 236.800 If Quick Step Company uses direct labor hours as the allocation base, what would the predetermined manufacturing overhead rate be? (Round your answer to the nearest cent.) O A. $1.80 per direct labor hour O B. $1.38 per direct labor hour O C. $1.68 per direct labor hour O D. $1.48 per direct labor hour

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Solution The correct answer is c 168 Explanation Solutions Calcu... View the full answer