Abicycle component manufacturer produces hubs for bike wheels. two processes are possible for manufacturing. process 1 process 2production rate (part/hour) 35 15daily production time (hours/day) 4 7% of part rejected 20 9 assume that the daily demand for hubs allows all defect-free hubs to be sold. additionally, tested or rejected hubs cannot be sold. find the process that maximizes profit per day if each part is made from $4 worth of material and can be sold for $30. both processes are fully automated, and variable overhead cost is charged at the rate of $40 per hour.

Harris fabrics computes its predetermined overhead rate annually on the basis of direct labor-hours. at the beginning of the year, it estimated that 34,000 direct labor-hours would be required for the period’s estimated level of production. the company also estimated $599,000 of fixed manufacturing overhead expenses for the coming period and variable manufacturing overhead of $3.00 per direct labor-hour. harris's actual manufacturing overhead for the year was $768,234 and its actual total direct labor was 34,500 hours.required: compute the company's predetermined overhead rate for the year. (round your answer to 2 decimal places.)