UNIT 8 $6,860 ($9,800 X .70) COST OF NEXT 7 UNITS = (8 X $6,860...

67. Correct answer a. Valley’s predetermined overhead application rate is $2.09.

(Indirect material + Indirect labor + Utilities) ÷ Production

($1,000 + $10,000 + $12,000) ÷ 11,000 = $2.09