Problem:
Harris Fabrics computes its predetermined overhead rate annually on the basis of direct labor-hours. At the beginning of the year, it estimated that 29,000 direct labor-hours would be required for the period's estimated level of production. The company also estimated $584,000 of fixed manufacturing overhead expenses for the coming period and variable manufacturing overhead of $3.00 per direct labor-hour. Harris's actual manufacturing overhead for the year was $732,719 and its actual total direct labor was 29,500 hours.
Required:
Question: Compute the company's predetermined overhead rate for the year.
Note: Please provide through step by step calculations.