The Anderson Company forecasts that total overhead for the current year will be $15,000,000 and total machine hours will be 200,000 hours.However,the actual overhead is $8,000,000 and the actual machine hours are 100,000 hours.If the company uses a predetermined overhead rate based on machine hours for applying overhead,what is predetermined overhead rate?
A) $80 per machine hour
B) $150 per machine hour
C) $75 per machine hour
D) $40 per machine hour
Correct Answer:
Verified
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