Ask Experts Questions for FREE Help !
Ask
    njackson0621's Avatar
    njackson0621 Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Sep 9, 2008, 05:11 PM
    Predetermine Overhead Rate
    How do you calculate the predetermine overhead rate when you do not have the manufacturing overhead?
    hamzashakaa's Avatar
    hamzashakaa Posts: 161, Reputation: 8
    Junior Member
    		  
    #2

    Sep 10, 2008, 01:32 AM
    You calculate predetermined overhesd rates by simply dividing the budgeted manufacturing overhead by the budgeted level of activity (such as Direct labor hours or machine hours)
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Predetermined overhead rate [ 3 Answers ]

Showers Company estimates the following overhead costs for the coming year: Equipment depreciation $150,000 Equipment maintenance 50,000 Supervisory salaries 20,000 Factory rent 200,000 Total $420,000 Showers is also budgeting $600,000 in direct labor costs and 14,000 machine hours for the...

How to calculate predetermine overhead allocation rate [ 2 Answers ]

The predetermined overhead allocation rate is based on estimated direct labor costs of $400k and estimated factory overhead of $500k. Would the answer be 400/500 = 80%?

Overhead rate [ 2 Answers ]

What is a simple formula for calculating a manufacturing overhead rate?

View more questions Search