Question

fill in the blank question
estimated manufacturing overhead $450,000
estimated direct labor hours 150,000
actual manufacturing overhead $405,000
actual direct labor hours 180,000
based on this information, the predetermined overhead rate per direct labor hour is $. (enter your answer as a whole number)

Explanation:

Step1: Identify formula for predeterm. rate

Predetermined overhead rate = $\frac{\text{Estimated manufacturing overhead}}{\text{Estimated direct labor hours}}$

Step2: Plug in given values

$\frac{\$450,000}{150,000}$

Step3: Calculate the rate

$\$3$ per direct labor hour

Answer:

3