Daffe Corporation uses direct labor-hours in setting its predetermined overhead rate.At the beginning of the year,the total estimated manufacturing overhead was $165,600.At the end of the year,actual direct labor-hours for the year were 11,900 hours,manufacturing overhead for the year was overapplied by $10,760,and the actual manufacturing overhead was $160,600.
Required:
What must have been the predetermined overhead rate for the year?
$$\begin{array} { | l | l | l | }
\hline & \text { Actual manufacturing } & \begin{array} { l }
\text { Overapplied manufacturing } \
\text { overhead }
\end{array} \
\text { Answer: } & \text { overhead } = & \
\text { Applied manufacturing } \
\text { overhead - }\
\hline
\end{array}$$

Question

Daffe Corporation uses direct labor-hours in setting its predetermined overhead rate.At the beginning of the year,the total estimated manufacturing overhead was $165,600.At the end of the year,actual direct labor-hours for the year were 11,900 hours,manufacturing overhead for the year was overapplied by $10,760,and the actual manufacturing overhead was $160,600.
Required:
What must have been the predetermined overhead rate for the year?
 $$\begin{array} { | l | l | l | } 
\hline & \text { Actual manufacturing } & \begin{array} { l } 
\text { Overapplied manufacturing } \
\text { overhead }
\end{array} \
\text { Answer: } & \text { overhead } = & \
\text { Applied manufacturing } \
\text { overhead - }\
\hline 
\end{array}$$

Quizplus · Accepted Answer

The Answer of Daffe Corporation uses direct labor-hours in setting its predetermined overhead rate.At the beginning of the year,the total estimated manufacturing overhead was $165,600.At the end of the year,actual direct labor-hours for the year were 11,900 hours,manufacturing overhead for the year was overapplied by $10,760,and the actual manufacturing overhead was $160,600.
Required:
What must have been the predetermined overhead rate for the year?
 $$\begin{array} { | l | l | l | } 
\hline & \text { Actual manufacturing } & \begin{array} { l } 
\text { Overapplied manufacturing } \
\text { overhead }
\end{array} \
\text { Answer: } & \text { overhead } = & \
\text { Applied manufacturing } \
\text { overhead - }\
\hline 
\end{array}$$

Daffe Corporation Uses Direct Labor-Hours in Setting Its Predetermined Overhead