Question - Christofferse Corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. Data for the most recently completed year appear below:
Estimates made at the beginning of the year:
Estimated Machine Hours 38,000
Estimated variable manufacturing overhead $3.33 per machine-hour
Estimated total fixed manufacturing overhead $548,720
Actual machine-hours for the year 33,700
Compute the company's predetermined overhead rate for the recently completed year.