Olive Productions Utilizes Job-Order Costing for Textbook Production How Much Are Total Manufacturing Overhead Costs Applied for February

question 6

Multiple Choice

Olive Productions utilizes job-order costing for textbook production.It allocates overhead at a rate of 130% of direct labor costs.The following is data regarding three jobs: $\begin{array}{llll}&\text { Work in Process }\\&\text { balance }&\text { Costs added in February }\\&\text { On Februany } 1&\text { Direct Labor }&\text { Direct Materials }\\\hline\text { Job \#64 } & \$ 600 & \$ 500 & \$ 200 \\\text { Job \#65 } & \$ 700 & \$ 300 & \$ 300 \\\text { Job \#66 } & \$ 500 & \$ 100 & \$ 250\end{array}$ How much are total manufacturing overhead costs applied for February?

• A)$3,510
• B)$900
• C)$1,440
• D)$1,170

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