The Charade Corporation is preparing its Manufacturing Overhead budget for the fourth quarter of the year. The
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Question:
The Charade Corporation is preparing its Manufacturing Overhead budget for the fourth quarter of the year. The budgeted variable manufacturing overhead is $4 per direct labor-hour; the budgeted fixed manufacturing overhead is $89,000 per month, of which $16,400 is factory depreciation.
If the budgeted direct labor time for November is 8,400 hours, then the total budgeted manufacturing overhead for November is:
a. $122,600
b. $139,000
c. $89,000
d. $106,200
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