Aksamit corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. data for the most recently completed year appear below: estimates made at the beginning of the year: estimated machine-hours 62,000 estimated variable manufacturing overhead $7.03 per machine-hour estimated total fixed manufacturing overhead $1,486,140 actual machine-hours for the year 61,100 the predetermined overhead rate for the recently completed year was closest to:

The predetermined overhead rate can be obtained by calculating the total cost (variable cost + fixed cost) then dividing it to the amount of work hours. This is calculated based on the estimated machine hours.

Total cost = $7.03 * 62,000 + $1,486,140

Total cost = $1,922,000

The predetermined overhead rate is therefore:

Predetermined overhead rate = $1,922,000 / 62,000 hours

Predetermined overhead rate = $31 / hr

750 h and costs $0.60 per bulb.

urban company reports the following information regarding its production cost: units produced 37,000 units direct labor $ 30 per unit direct materials $ 35 per unit variable overhead $ 237,000 in total fixed overhead $ 127,000 in total