Use the Information Below to Answer the Following Question(s)

question 173

Multiple Choice

Use the information below to answer the following question(s) .
Sable Company is debating the use of direct labour cost or direct labour hours as the cost allocation base for allocating manufacturing overhead. The following information is available for the most recent year:

-If Sable Company uses direct labour cost as the allocation base, what would the allocated manufacturing overhead be for the year?

• A) $642,857
• B) $360,000
• C) $315,000
• D) $400,000

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Definitions:

Battle Of San Jacinto

The decisive battle of the Texas Revolution fought in 1836, where Texas forces defeated Mexican troops, leading to Texas independence.

Texas

A state in the southern United States known for its large size, diverse landscapes, and significant historical events such as the Alamo.

Sam Houston

An American statesman, soldier, and politician, significant for his role in bringing Texas into the United States and serving as its first president.

Slavery

A system in which people are treated as property to be bought, sold, and forced into labor without rights, historically widespread across the world and a significant cause of social and political strife.