Question

Hibiscus company uses a job order costing system and last period incurred $80,000 of actual overhead and $100,000 of direct labor. hibiscus estimates that its overhead next period will be $75,000. it also expects to incur $100,000 of direct labor cost. if hibiscus bases applied overhead on direct labor cost, its predetermined overhead rate for the next period should be:
a. 80 %
b. 107 %
c. 75 %
d. 125 %
e. 133 %

Answer 1

Respuesta:

c. 75

Explicación: