1. XYZ Manufacturing Co. allocates overhead based on machine hours and direct labor hours. For the month of May, the company incurred the following costs:

Cost Category	Amount ($)
Direct Materials	$50,000
Direct Labor	$30,000
Manufacturing Overhead	$40,000

2. Machine hours worked: 2,000 Direct labor hours worked: 1,500
3. Calculate the overhead rate per machine hour and per direct labor hour. Then allocate the overhead costs to products A, B, and C, which consumed 800, 600, and 500 machine hours respectively.