Question: Holland Ltd allocates overhead based on DLH and estimates its total overhead costs will be $140,000 for the coming year. It will use 28,000 direct
Holland Ltd allocates overhead based on DLH and estimates its total overhead costs will be $140,000 for the coming year. It will use 28,000 direct labour hours and 14,000 machine hours during that same period.
How much overhead will be charged to a job that used 15 Direct Labour Hours?
| a. | $75 | |
| b. | $420 | |
| c. | $150 | |
| d. | Unable to be determined from the information given | |
| e. | $5 |
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