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Normandeau Company's actual indirect cost pool amounted to $1,400,000 and the direct labour pool ...

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Normandeau Company's actual indirect cost pool amounted to $1,400,000 and the direct labour pool ...

Normandeau Company's actual indirect cost pool amounted to $1,400,000 and the direct labour pool was $5,400,000. Overhead is allocated on the basis of direct labour hours. Actual and budgeted direct labour hours were 25,000 and 30,000 for the period. What is the manufacturing overhead cost allocation rate using actual direct labour hours as the cost allocation base?
A) $46.67
B) $272.00
C) $75.00
D) $226.67
E) $56.00

Textbook

Cost Accounting: A Managerial Emphasis, Canadian Edition

Edition: 7^th

Authors: Horngren, Datar, Rajan, Beaubien

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