Required information exercise 3-35 predetermined overhead rate; various cost drivers (lo 3-4) [the following information applies to the questions displayed below.] the following data pertain to the oneida restaurant supply company for the year just ended. budgeted sales revenue $ 205,000 actual manufacturing overhead 338,000 budgeted machine hours (based on practical capacity) 8,000 budgeted direct-labor hours (based on practical capacity) 20,000 budgeted direct-labor rate $ 14 budgeted manufacturing overhead $ 364,000 actual machine hours 11,000 actual direct-labor hours 18,000 actual direct-labor rate $ 17 exercise 3-35 part 1 required: compute the firm’s predetermined overhead rate for the year using each of the following common cost drivers: (a) machine hours, (b) direct-labor hours, and (c) direct-labor dollars. (round your answers to 2 decimal place.)

Instructions are listed below

Explanation:

Giving the following information:

Budgeted manufacturing overhead $ 364,000.

Budgeted machine hours (based on practical capacity) 8,000

Budgeted direct labor hours (based on practical capacity) 20,000

Budgeted direct-labor rate $ 14

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

A) Estimated manufacturing overhead rate= 364,000 / 8,000= $45.5 per machine hour

B) Estimated manufacturing overhead rate= 364,000 / 20,000= $18.2 per direct labor hour

C) Estimated manufacturing overhead rate=364,000 / (8,000*14)= $3.25 per direct labor dollar

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