(Appendix 11A) Odonell Corporation estimates that its variable manufacturing overhead is $11.20 per machine-hour and its fixed manufacturing overhead is $563, 640 per period. If the denominator level of activity is 6, 000 machine-hours, the fixed component in the predetermined overhead rate would be:
A) $1, 120.00 per machine-hour
B) $11.20 per machine-hour
C) $93.94 per machine-hour
D) $105.14 per machine-hour
Correct Answer:
Verified
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