Question: A Company uses a job order costing system and allocates its manufacturing overhead costs based on direct labor costs. The Company's production costs for the
A Company uses a job order costing system and allocates its manufacturing overhead costs based on direct labor costs. The Company's production costs for the year were: direct labor, $75,000; direct materials, $40,000; and factory overhead applied $25,000. The predetermined overhead rate was: a. 53.3%. b. 300.%. c. 62.5%. d. 33.3% e. 3%
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