Solved: Finding predetermined overhead rate, Accounting Basics

Finding predetermined overhead rate

Question 1. What is a predetermined overhead rate and how is it computed?

Question 2. What do you feel is the best allocation base to use for the denominator in the predetermined overhead rate calculation and why?

Question 3. What factors would you consider in choosing the allocation base?

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Accounting Basics: Finding predetermined overhead rate

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Accounting Basics: Finding predetermined overhead rate

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