Answer:
The correct answer is D.
Explanation:
Giving the following information:
The company based its predetermined overhead rate for the current year on the following data:
Total machine-hours 80,000
Total fixed manufacturing overhead cost $ 312,000
Variable manufacturing overhead per machine-hour $ 2.10
Job T629:
Total machine-hours 200
First, we need to calculate the predetermined overhead rate:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 312,000/80,000= $3.9 per machine hour
Now, we can calculate the allocated overhead:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH=3.9*200= $780
