The 2018 actual overhead cost rate is $6.55
Compute the actual overhead cost rate for 2018?
Note that the requirement is to determine the actual overhead cost rate per machine hour in the year 2018, which considers the actual manufacturing overhead incurred and the actual machine hours used.
In essence, the actual overhead cost rate is the actual manufacturing overhead cost divided by the actual machine hours
actual overhead cost rate=$360,000/55,000
actual overhead cost rate=$6.55
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