Business, 01.02.2021 21:40 Jasten

Harris Fabrics computes its plantwide predetermined overhead rate annually on the basis of direct labor-hours. At the beginning of the year, it estimated that 28,000 direct labor-hours would be required for the period’s estimated level of production. The company also estimated $579,000 of fixed manufacturing overhead cost for the coming period and variable manufacturing overhead of $2.00 per direct labor-hour. Harris’s actual manufacturing overhead cost for the year was $690,514 and its actual total direct labor was 28,500 hours. Required:
Compute the company's predetermined overhead rate for the year. (Round your answer to 2 decimal places.)

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