The following data relates to Tier One Company's estimated amounts for next year. $$\begin{array} { l c c }
\text { Estimated: } & \text { Department 1 } & \text { Departnent } 2 \
\text { Marufacturing overhead costs } & \$ 50,000 & \$ 40,000 \
\text { Direct labor hours } & 150,000 D L H & 200,000 \mathrm { DLH } \
\text { Machine hours } & 300,000 \mathrm { MH } & 400,000 \mathrm { MH }
\end{array}$$ What is the company's plantwide overhead rate if direct labor hours are the allocation base?
(Round to two decimal places.)
A)$3.89 per DLH
B)$3.00 per DLH
C)$0.33 per DLH
D)$0.26 per DLHE.$0.20 per DLH

Question

The following data relates to Tier One Company's estimated amounts for next year. $$\begin{array} { l c c } 
\text { Estimated: } & \text { Department 1 } & \text { Departnent } 2 \
\text { Marufacturing overhead costs } & \$ 50,000 & \$ 40,000 \
\text { Direct labor hours } & 150,000 D L H & 200,000 \mathrm { DLH } \
\text { Machine hours } & 300,000 \mathrm { MH } & 400,000 \mathrm { MH }
\end{array}$$ What is the company's plantwide overhead rate if direct labor hours are the allocation base?
(Round to two decimal places.)
A)$3.89 per DLH
B)$3.00 per DLH
C)$0.33 per DLH
D)$0.26 per DLHE.$0.20 per DLH

Quizplus · Accepted Answer

The Answer of The following data relates to Tier One Company's estimated amounts for next year. $$\begin{array} { l c c } 
\text { Estimated: } & \text { Department 1 } & \text { Departnent } 2 \
\text { Marufacturing overhead costs } & \$ 50,000 & \$ 40,000 \
\text { Direct labor hours } & 150,000 D L H & 200,000 \mathrm { DLH } \
\text { Machine hours } & 300,000 \mathrm { MH } & 400,000 \mathrm { MH }
\end{array}$$ What is the company's plantwide overhead rate if direct labor hours are the allocation base?
(Round to two decimal places.)
A)$3.89 per DLH
B)$3.00 per DLH
C)$0.33 per DLH
D)$0.26 per DLHE.$0.20 per DLH

The Following Data Relates to Tier One Company's Estimated Amounts