Duggan Company applies manufacturing overhead to jobs on the basis of machine ho

Question

Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $337,770 for the year, and machine usage is estimated at 125,100 hours.

For the year, $357,866 of overhead costs are incurred and 130,900 hours are used.
Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $337,770 for the year, and machine usage is estimated at 125,100 hours.

For the year, $357,866 of overhead costs are incurred and 130,900 hours are used. Exercise 15-5 Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $337,770 for the year, and machine usage is estimated at 125,100 hours.

For the year, $357,866 of overhead costs are incurred and 130,900 hours are used.
Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $337,770 for the year, and machine usage is estimated at 125,100 hours. For the year, $357,866 of overhead costs are incurred and 130,900 hours are used. Compute the manufacturing overhead rate for the year. (Round answers to 2 decimal places, e.g. 1.25.)

Explanation / Answer

manufacturing overhead rate for the year = 337,770/125,100 = 2.70 per machine hour

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