Hello, I need help with converting an estimated activity level of direct labor dollars into Predetermined overhead rate=Estimated total manufacturing overhead cost / Estimated total amount of the allocation base =$360,000/900 DLHs = $400 per DLH;The word problem for me is given as: Its predetermined overhead rate is based on a cost formula that estimated $76,500 of manufacturing overhead for an estimated activity level of $45,000 direct labor dollars.
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