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    Computation of Overhead rate per service request

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    Compute the overhead rate per service request for the maintenance department if estimated overhead costs are $18,290 and the number of estimated service requests is 3,100.

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    Solution Preview

    All costs of operating factory other than direct material and direct labor are called manufacturing overhead costs. Overhead costs are assigned to the production by means of predetermined overhead rate.

    The rate is calculated by dividing estimated overhead costs for the year by the estimated activity which may be in the nature of ...

    Solution Summary

    Computations of overhead rate per service request are examined.

    $2.19

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