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Tillinghast Corporation Estimates That Its Variable Manufacturing Overhead Is $9

Question 50

Multiple Choice

Tillinghast Corporation estimates that its variable manufacturing overhead is $9.60 per machine-hour and its fixed manufacturing overhead is $14,630 per period. If the denominator level of activity is 1,000 machine-hours, the fixed component in the predetermined overhead rate would be:


A) $24.23 per machine-hour
B) $14.63 per machine-hour
C) $960.00 per machine-hour
D) $9.60 per machine-hour

Correct Answer:

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