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    Predetermined overhead rate

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    Question 19: (1 point)
    Billa Corporation's abbreviated flexible budget for two levels of activity appears below:
    Cost Formula (per machine-hour) Activity
    (in machine-hours)
    4,590 4,690
    Total variable overhead cost $11.5 $ 52,785 $ 53,935
    Total fixed overhead cost 347,800 347,800
    Total overhead cost $400,585 $401,735

    If the denominator level of activity is 4,690 machine-hours, the predetermined overhead rate would be:

    $99.66

    $77.66

    $103.66

    $85.66

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