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Assuming that direct labor cost is the basis for applying

Selected data for the consulting department of Austin Consulting, Inc., follow:

Estimated consulting overhead cost for the year $405,000 Estimated direct labor cost for the year (@ $9/hr.)450,000Actual manufacturing overhead cost for January24,000Actual direct labor cost for January (1,200 hours)16,500

Assuming that direct labor cost is the basis for applying consulting overhead,

a. Calculate the predetermined overhead rate.

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