Happy Clicks Inc What Is the Amount of Manufacturing Overhead Cost Allocated to $4.75

question 21

Multiple Choice

Happy Clicks Inc. uses a predetermined overhead allocation rate of $4.75 per machine hour. Actual overhead costs incurred during the year are as follows: $$\begin{array} { | l | r | } \hline \text { Indirect materials } & \$ 5,200 \\\hline \text { Indirect labor } & \$ 3,750 \\\hline \text { Plant depreciation } & \$ 4,800 \\\hline \text { Plant utilities and insurance } & \$ 9,530 \\\hline \text { Other plant overhead costs } & \$ 12,700 \\\hline \text { Total machine hours used during the year } & 7,520 \text { hours } \\\hline\end{array}$$ What is the amount of manufacturing overhead cost allocated to Work-in-Process Inventory during the year?

• A) $35,980
• B) $8,950
• C) $27,030
• D) $35,720

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