on . Posted in Project Management Engineering

Predetermined overhead rate, abbreviated as POHR, is the allocation rate that is assigned to products or job orders at the beginning of a project.

$$\large{ POHR = \frac{ MOHR }{ ABP } }$$
$$\large{ POHR }$$ = predetermined overhead rate
$$\large{ MOHR }$$ = estimated manufacturing overhead rate
$$\large{ ABP }$$ = estimated units of the allocation base for the period