(Appendix 10A) a Furniture Manufacturer Uses a Standard Costing System

Multiple Choice

(Appendix 10A) A furniture manufacturer uses a standard costing system in which standard machine-hours (MHs) is the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below:
The following data pertain to operations for the most recent period:

-If the denominator level of activity is 6,200 machine-hours,the predetermined overhead rate would be:

A) $520.00 per machine-hour
B) $5.20 per machine-hour
C) $44.24 per machine-hour
D) $39.04 per machine-hour