Question

​Poland's Paints allocates overhead based on machine hours. Selected data for the most recent year follow. Estimated manufacturing overhead cost Actual manufacturing overhead cost Estimated machine hours Actual machine hours The estimates were made as of the beginning of the​ year, while the actual results were for the entire year. The predetermined manufacturing overhead rate per machine hour is closest to

Answer 1

Answer: $11.75 per machine hour

Step-by-step explanation:

The Predetermined Manufacturing Overhead rate can be calculated by;

= Estimated Manufacturing Overhead Cost / Estimated Machine Hours

= 235,000/20,000

= $11.75 per machine hour