At the end of the year,actual manufacturing overhead costs were $110,000 and applied manufacturing overhead costs were $118,800.If the denominator activity for the year was 20,000 machine-hours,and if 22,000 standard machine-hours were allowed for the year's production,the predetermined overhead rate per machine-hour was:
A)$5.00
B)$5.94
C)$5.50
D)$5.40

Question

Quizplus · Accepted Answer

Predetermined overhead rate = Estimated total manufacturing overhead cost F1F1F1S1F1F1F10 Estimated total amount of the allocation base = $118,800 F1F1F1S1F1F1F10 22,000 machine-hours = $5.40 per machine-hour

At the End of the Year,actual Manufacturing Overhead Costs Were