With the following information how do you find predetermined overhead rate?
Ciolino Co.'s March 31 inventory of natural materials is $180,000. Raw materials purchases contained by April are $400,000, and factory payroll cost surrounded by April is $200,000. Overhead costs incurred in April are: indirect materials, $21,000; indirect labor, $18,000; factory rent, $12,000; factory utilities, $8,000; and factory equipment depreciation, $29,000. The predetermined overhead rate is 35% of direct labor cost. Job 306 is sold for $320,000 change contained by April. Costs of the three job worked on surrounded by April follow.
Answers:
The predetermined overhead rate is 35% of direct labor cost.
$200,000 * .35 = $70,000
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Answers:
The predetermined overhead rate is 35% of direct labor cost.
$200,000 * .35 = $70,000