The following information is for Ralfies Candies.
Ralfies Candies allocates variable overhead based on direct labor hours. Based on information from the flexible budget, what is the predetermined Variable OH allocation rate for this period?
Estimated total variable overheads = $4,000
Estimated direct labor hours = 2,000
Predetermined variable overhead allocation rate = Estimated total variable overheads/Estimated direct labor hours
= 4,000/2,000
= $2 per direct labor hour
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The following information is for Ralfies Candies. Ralfies Candies allocates variable overhead based on direct labor...
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