Barbara, the manager of Metlock, is analyzing the company's MOH costs from last year. Metlock had always followed an actual costingsystem when determining the costs of its customizable telescopes. Barbara wondered if it would be better to switch to a normalcosting system, as she had heard a number of people talking about that at an industry conference she attended the previous month.Since Metlock has a highly machine-intensive operation, machine hours are used as its MOH cost driver. Here are the costs and otherMOH information Barbara is analyzing:Budgeted MOH costActual MOH costBudgeted machine hoursActual machine hours$426,240Actual MOH rate$419,040Determine the actual MOH rate and the budgeted MOH rate Metlock would have used last year under actual costing and normalcosting, respectively. (Round answers to 2 decimal places, e.g. 52.75.)Budgeted MOH rate $96,000108,000/machine hour/machine hour

Predetermined rate means the indirect cost rate. It is a rate that is used to allocate estimated…

Answered: Determine the actual MOH rate and the…

Determine the actual MOH rate and the budgeted MOH rate Metlock would have used last year under actual costing and normal costing, respectively. (Round answers to 2 decimal places, e.g. 52.75.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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