At the Beginning of the Year, Rovetti, Inc

question 45

Multiple Choice

At the beginning of the year, Rovetti, Inc. estimated that in the coming year overhead would be $600,000 and direct labour hours would be 200,000. At the end of the year, it had actual overhead of $656,000 and 225,050 direct labour hours.
-Refer to the Figure.What is the predetermined overhead rate?

• A)$2.63 per direct labour hour
• B)$3.00 per direct labour hour
• C)$3.42 per direct labour hour
• D)$4.00 per direct labour hour

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Definitions:

Environmental Stimuli

External factors or changes in the environment that can evoke a physical or behavioral response.

Information Overload

A state where one is exposed to more information than they can process, leading to difficulty in understanding or making decisions.

Receiver

In the context of communication, the person or entity who receives and interprets a message sent from a sender.

Useless Information

Refers to data or facts that are not relevant or beneficial to the current context or objectives.