Alton Company has an overhead application rate of 160% and allocates overhead based on direct materials. During

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Question:

Alton Company has an overhead application rate of 160% and allocates overhead based on direct materials. During the current period, direct labor is $50,000 and direct materials used are $80,000. Determine the amount of overhead Alton Company should record in the current period. A. $31,250

B. $50,000

C. $80,000

D. $128,000

E. $208,000