Fenderson Incorporated Makes a Single Product--A Cooling Coil Used in Commercial

Essay

Fenderson Incorporated makes a single product--a cooling coil used in commercial refrigerators.The company has a standard cost system in which it applies overhead to this product based on the standard machine-hours allowed for the actual output of the period.Data concerning the most recent year appear below:
The company incurred a total of $370,077 in manufacturing overhead cost during the year.
Required:
a.Compute the variable component of the company's predetermined overhead rate.
b.Compute the fixed component of the company's predetermined overhead rate.
c.Compute the company's predetermined overhead rate.
d.Determine whether overhead was underapplied or overapplied for the year and by how much.