Overhead Rate Calculator
Indirect Cost Allocation
Overhead rate spreads indirect costs across a base such as labor hours, machine hours, or direct labor cost.
Formula: overhead rate = overhead costs / allocation base.
Understanding Overhead Rate
1. What This Calculator Measures
Overhead rate spreads indirect costs across an allocation base.
2. How the Calculation Works
The calculator divides overhead costs by the selected base.
3. Formula or Rule Used
overhead rate = overhead costs / allocation base.
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