Wall Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing...
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Wall Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. The company's estimated costs for the next year are: Direct materials 53,000 Direct labor... $20,000 Depreciation on factory equipment 56,000 Rent on factory $12,000 Sales salaries. $29,000 Factory utilities $15,000 Indirect labor $6,000 It is estimated thet 10,000 direct labor hours will be worked during the year. The predetermined overhead rate will be a. $3.90 b. $5.90 c. $6.80 O d. $9.10
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