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The predetermined overhead rate is calculated as

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The predetermined overhead rate is calculated as

The predetermined overhead rate is calculated as

▸ actual total manufacturing overhead divided by budgeted activity level of application base.

▸ budgeted total manufacturing overhead divided by budgeted activity level of application base.

▸ actual total manufacturing overhead divided by actual activity level of application base.

▸ budgeted total manufacturing overhead divided by actual activity level of application base.

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Managerial Accounting

Edition: 4^th

Author: Davis

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