The Following Data Relates to Mangini Company's Estimated Amounts for Next

question 138

Multiple Choice

The following data relates to Mangini Company's estimated amounts for next year. $\begin{array}{lcc}\text { Estimated: } & \text { Department 1 } & \text { Department 2 } \\\text { Manufacturing overhead costs } & \$ 320,000 & \$ 400,000 \\\text { Direct labor hours } & 65,000 \mathrm{DLH} & 75,000 \mathrm{DLH} \\\text { Machine hours } & 2,000 \mathrm{MH} & 2,500 \mathrm{MH}\end{array}$ What is the company's plantwide overhead rate if machine hours are the allocation base? (Round your answer to two decimal places.)

• A) $200.00 per MH
• B) $150.00 per MH
• C) $160.00 per MH
• D) $31.11 per MH
• E) $5.14 per MH

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