In December 2016, Shire Computer's management establis
Question and Solution
In December 2016, Shire Computer's management establishes the 2017 predetermined overhead rate based on direct labor c
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In December 2016, Shire Computer's management establishes the 2017 predetermined overhead rate based on direct labor cost. The information used in setting this rate includes estimates that the company will incur $747,500 of overhead costs and $575,000 of direct labor cost in year 2017. During March 2017, Shire began and completed Job 13-56. 1. What is the predetermined overhead rate for 2017? 2. Use the information on the following job cost sheet to determine the total cost of the job.
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