The Thomlin Company forecasts that total overhead for the current year will be $
ID: 2358863 • Letter: T
Question
The Thomlin Company forecasts that total overhead for the current year will be $11,698,671 and that total machine hours will be 192,638 hours. Year to date, the actual overhead is $7,819,160 and the actual machine hours are 80,131 hours. If the Thomlin Company uses a predetermined overhead rate based on machine hours for applying overhead, what is that overhead rate? Select the correct answer. a. $98 per machine hour b. $41 per machine hour c. $61 per machine hour d. $146 per machine hour Please show solution. Thanks!Explanation / Answer
c. $61 per machine hour