Summer Supplies calculates its predetermined overhead rate annually on the basis of direct labour hours. At the beginning of the year, it had the following estimated
amounts:
Estimated total manufacturing overhead: $185,000
Estimated total direct labour hours: 13,000
Estimated total machine hours: 9,000
The actual amounts for the year were:
Total manufacturing overhead costs: $215,500
Total direct labour hours: 13,500
Total machine hours: 9.250 Calculate the company's predetermined overhead rate for the year. Enter your answer in the space below. (Round to two decimal places and do not include a dollar
sign or comma. I.e. 0000.00)