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Use the Following Information for the Next 2 Questions

question 67

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Use the following information for the next 2 questions. Use the following information for the next 2 questions.   Franks Fabricating uses job costing and applies overhead using a normal costing system and uses direct labor cost as the allocation base. This period's estimated overhead cost is $100,000 and estimated direct labor cost of $50,000 and 2,500 direct labor hours. -What is the overhead allocation rate? A)  200% B)  50% C)  30% D)  60% Franks Fabricating uses job costing and applies overhead using a normal costing system and uses direct labor cost as the allocation base. This period's estimated overhead cost is $100,000 and estimated direct labor cost of $50,000 and 2,500 direct labor hours.
-What is the overhead allocation rate?


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