A Company Allocates $7 A)9,914 DLH
B)6,612 DLH
C)3,109 DLH
D)7,454 DLH
E)16,254 DLH

question 157

Multiple Choice

A company allocates $7.50 overhead to each unit produced.The company uses a plantwide overhead rate with direct labor hours as the allocation base.Given the amounts below, how many direct labor hours does the company expect in department 2? $$\begin{array} { l c c } \text { Estirnated: } & \text { Department 1 } & \text { Departrnent } 2 \\\text { Maruffacturing overhead costs } & \$ 74,358 & \$ 49,572 \\\text { Direct labor hours } & 6,610 \mathrm { DLH } & ? \mathrm { DLH } \\\text { Machinehours } & 700 \mathrm { MH } & \mathbf { 8 0 \mathrm { MH } }\end{array}$$

• A)9,914 DLH
• B)6,612 DLH
• C)3,109 DLH
• D)7,454 DLH
• E)16,254 DLH

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