Answer:
$12.10
Step-by-step explanation:
Predetermined overhead rate rate is the rte which is used to apply the overhead to different departments and products using a given basis like Labor hour, machine hours etc.
Estimated Manufacturing overhead = $121,000
Estimated direct labor hours = 10,000 hours
Predetermined overhead is calculated by using following formula
Predetermined overhead = Estimated Manufacturing overhead / Estimated direct labor hours
Predetermined overhead = $121,000 / 10,000
Predetermined overhead = $12.10
Predetermined rate of $12.10 will be used to apply overhead to different department or product or project by using direct labor hour consumed by each.