If 110,000 machine hours of activity are projected for next period,total expected overhead cost would be?
A) $242,500.
B) $256,000.
C) $263,500.
D) $306,625.

Question

Quizplus · Accepted Answer

To determine the total expected overhead cost, we need to use the predetermined overhead rate. This rate is computed by dividing the total expected overhead cost by the estimated total machine hours.

We are given the projected machine hours, but we need to know the total expected overhead cost. Therefore, we need additional information to compute the predetermined overhead rate.

Without this information, we cannot accurately determine the total expected overhead cost.

If 110,000 Machine Hours of Activity Are Projected for Next