Predetermined Overhead Rate Calculator

Predetermined Overhead Rate Calculator

Predetermined Overhead Rate Calculator

Predetermined Overhead Rate Calculator
Parameter Description Example Value
Estimated Total Overhead Costs The total overhead costs estimated for the period. $100,000
Estimated Total Activity Base The total amount of the activity base estimated for the period (e.g., machine hours, labor hours). 50,000 hours
Predetermined Overhead Rate The rate calculated to allocate overhead costs to products.
Formula: Estimated Total Overhead Costs / Estimated Total Activity Base
$2.00 per hour

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