Q U E S T | O N 7 (Not a repeat question.)Baehr Company is a manufacturing company with a scal year that runs from July 1 to June 30. The company uses a joborder accounting system for its production costs. A predetermined overhead rate based upon direct labor hours is used to apply overhead to individual jobs. A exible budget of overhead costs was prepared for the scal year as shown below. Direct labor hours 100,000 120,000 140,000 Variable overhead costs $325,000 $390,000 $455,000 Fixed overhead costs 216,000 2 16.000 216,000 Total overhead $541,000 $606,000 $671,000 Although the annual ideal capacity is 150,000 direct labor hours, company officials have determined 120,000 direct labor hours to be normal capacity for the year. The information presented below is for November. Jobs 83-50 and 835 1 were completed during November. Inventories November 1 Raw materials and supplies $10,500 Work-inprocess (Job 83-50) 54,000 Finished goods 1 12,500 Materials and supplies requisitioned for production Job 8350 $45,000 Job 83-51 37,500 Job 83-02 25,500 Supplies 12,000 $120,000