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Sagot :
In the case above, the value of the overhead rate for the second quarter is $17,640.
What is the overhead rate about?
Note that:
In the case above, for one to be able to calculate the predetermined overhead rate, a person need to divide the value of the estimated overhead costs which is $52,500 by that of the estimated direct labor hours .
Predetermined overhead rate=Estimated overhead costs/ estimated direct labor hours
Predetermined overhead rate=$52,500/ 12,500
Predetermined overhead rate=$4.20/DLH overhead rate
Hence: $52,500/ 12,500 = $4.20/DLH overhead rate.
Since the Overhead that was applied at standard hours was said to be allowed, then:
= $4.2 x 2,400 x 1.75
= $17,640.
Therefore, In the case above, the value of the overhead rate for the second quarter is $17,640.
Learn more about overhead rate from
https://brainly.com/question/16256360
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