Tiger Furnishings produces two models of cabinets for home
theater components, the Basic and the Dominator. Data on operations
and costs for March follow:
Basic Dominator Total
Units produced 1,000 450 1,450
Machine-hours 3,000 2,800 5,800
Direct labor-hours 2,900 2,300 5,200
Direct materials costs $ 8,200 $ 3,350 $ 11,550
Direct labor costs 58,700 31,300 90,000
Manufacturing overhead costs 183,560
Total costs $ 285,110
Required:
Compute the predetermined overhead rate assuming that Tiger
Furnishings uses direct labor-hours to allocate overhead...