Final Answer:
The predetermined manufacturing overhead per direct labor-hour for December would be B. $11.80.
Therefore, option B. $11.80 is correct.
Step-by-step explanation:
To calculate the predetermined manufacturing overhead per direct labor-hour, you divide the total estimated manufacturing overhead costs by the budgeted direct labor hours.
Assuming the predetermined manufacturing overhead is $47,200 (calculated as total estimated overhead costs) and the budgeted direct labor time for December is 4,000 hours, the calculation is $47,200 / 4,000 hours = $11.80 per direct labor-hour. Therefore, the answer is B. $11.80.
This predetermined rate is essential for accurately allocating overhead costs to products or services based on the actual direct labor hours worked. It provides a standard measure to apply overhead costs, aiding in budgeting and cost control.
Therefore, option B. $11.80 is correct.