Use the information below to answer the following question(s).Regal Company uses a single cost pool for fixed manufacturing overhead.The amount for June 2019 was budgeted at $500,000; however, the actual amount was $700,000.Actual production for June was 12,500 units, and actual machine hours were 10,000.Budgeted production included 17,750 units and 12,375 machine hours.
-What is Regal Company's budgeted fixed overhead rate per output unit?
A)$28.17 per unit
B)$39.44 per unit
C)$40.40 per unit
D)$56.56 per unit
E)$65.17 per unit

Question

Quizplus · Accepted Answer

The budgeted fixed overhead rate per output unit is $28.17. This is calculated by dividing the budgeted fixed overhead cost of $500,000 by the budgeted production of 17,750 units.

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