Sargent Corporation Applies Overhead Cost to Jobs on the Basis

Question 78
Multiple Choice

Sargent Corporation applies overhead cost to jobs on the basis of 80% of direct labor cost.If Job 210 shows $10,000 of manufacturing overhead cost applied, how much was the direct labor cost on the job? A)$12,500 B)$11,000 C)$8,000 D)$10,000