The Steff Company has the following flexible budget (in condensed form) for manufacturing overhead: The following data concerning production pertain to last year's operations:
-The fixed element of the predetermined overhead rate was (per DLH):
A)$4.15
B)$3.00
C)$2.00
D)$1.15

Question

The Steff Company has the following flexible budget (in condensed form) for manufacturing overhead:  The following data concerning production pertain to last year's operations:  
-The fixed element of the predetermined overhead rate was (per DLH):
A)$4.15 
B)$3.00 
C)$2.00 
D)$1.15

Quizplus · Accepted Answer

Fixed component of the predetermined overhead rate = Budgeted fixed overhead cost F1F1F1S1F1F1F10 Denominator level of activity = $30,000 F1F1F1S1F1F1F10 15,000 hours = $2.00 per hour

The Steff Company Has the Following Flexible Budget (In Condensed