Homework SourseM24 Calculating Predetermined Overhead Rates LO 23 Carey Com
M2-4 Calculating Predetermined Overhead Rates [LO 2-3] Carey Company applies manufacturing overhead costs to products as a percentage of direct labor dollrs. Estimated and actual values of manufacturing overhead and direct labor costs are 600,000 $550,000 Compute the ![M2-4 Calculating Predetermined Overhead Rates [LO 2-3] Carey Company applies manufacturing overhead costs to products as a percentage of direct labor dollrs. E](/WebImages/30/m24-calculating-predetermined-overhead-rates-lo-23-carey-com-1082987-1761569031-0.webp "M2-4 Calculating Predetermined Overhead Rates [LO 2-3] Carey Company applies manufacturing overhead costs to products as a percentage of direct labor dollrs. E")
Solution
Predetermined overhead rate = Estimated manufacturing overhead/Estimated direct labor cost = 900000/600000 = 150%