Answer the Following Question(s)using the Information Below

question 3

Multiple Choice

Answer the following question(s) using the information below.A law office employs full-time attorneys and five paraprofessionals.For the current year indirect costs were budgeted at $225,000, but actually amounted to $350,000.Direct and indirect costs are applied on a professional labour-hour basis which includes both attorney and paraprofessional hours.Total budgeted labour-hours were 25,000; however, actual labour-hours were 30,000.
-What is the overhead applied to a 500 hour job if the law office uses actual costing?

• A)$5,200
• B)$4,500
• C)$3,750
• D)$5,000
• E)$5,835