Equinox Fabrication Plant suffered a fire incident in August due to which most of the records for the year were destroyed. The following accounting data for the year that were recovered:
Total manufacturing overhead estimated at the beginning of the year
$105,840
Total direct labor costs estimated at the beginning of the year
$186,000
Total direct labor hours estimated at the beginning of the year
3,600 direct labor hours
Actual manufacturing overhead costs for the year
$99,760
Actual direct labor costs for the year
$142,000
Actual direct labor hours for the year
2,950 direct labor hours
The company bases its manufacturing overhead allocation on direct labor hours. Calculate the predetermined overhead allocation rate for the year?
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