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Figure 5-1

question 177

Multiple Choice

Figure 5-1.Morrow Company applies overhead based on direct labor hours. At the beginning of the year, Morrow estimates overhead to be $620,000, machine hours to be 180,000, and direct labor hours to be 40,000. During February, Morrow has 4,200 direct labor hours and 8,000 machine hours.
-Refer to Figure 5-1. What is the predetermined overhead rate?


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