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    aquiroga's Avatar
    aquiroga Posts: 4, Reputation: 1
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    #1

    May 28, 2014, 07:53 PM
    POHR
    The controller for Tender Bird Poultry, Inc. estimates that the company’s fixed overhead is $100,000 per year. She also has determined that the variable overhead is approximately $.15 per chicken raised and sold. Since the firm has a single product, overhead is applied on the basis of output units, chickens raised and sold.
    1. Calculate the predetermined overhead rate under each of the following output predictions: 200,000 chickens, 300,000 chickens, and 400,000 chickens. (Round your answers to 2 decimal places. Omit the "$" sign in your response.)

    200,000 chickens $
    300,000 chickens $
    400,000 chickens $

    smoothy's Avatar
    smoothy Posts: 25,490, Reputation: 2853
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    #2

    May 28, 2014, 08:00 PM
    Since we don't do your homework assignments for you... show us your answers and tell us how you got them.
    aquiroga's Avatar
    aquiroga Posts: 4, Reputation: 1
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    #3

    May 28, 2014, 08:06 PM
    Well I tried to do the POHR formula: Budgeted MOH cost/Budgeted amount of cost driver

    But I'm doing something wrong..

    a. 100,000/200,000 x.15= 3.33
    b. 100,000/300,000 x .15= 2.22
    c. 100,000/400,000 x .15= 1.67

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