Simpson Company Applies Overhead on the Basis of 200% of Direct

question 152

Multiple Choice

Simpson Company applies overhead on the basis of 200% of direct labor cost. Job No. 305 is charged with $90,000 of direct materials costs and $120,000 of manufacturing overhead. The total manufacturing costs for Job No. 305 is:

• A) $210,000
• B) $270,000
• C) $300,000
• D) $330,000