12. K Company estimates that overhead costs for the next year will be $2.900,000 for indirect labor and $800,000 for factory utilities. The company uses direct labor hours as its overhead allocation base. If 80,000 direct labor hours are planned for this next year, what is the company's plantwide overhead rate? A. S.02 per direct labor hour. B. $46.25 per direct labor hour. C. S36.25 per direct labor hour. D. $10 per direct labor hour. E. S.10 per direct labor hour. 13. From an ABC perspective, what causes costs to be incurred? A. Financial transactions. B. The volume of units produced. C. Debits and credits. D. Management decisions. E. Activities. 14. The sales level at which a company neither earns a profit nor incurs a loss is the: A. Relevant range. B. Margin of safety C. Step-wise variable level. D. Break-even point. E. Contribution margin. 15. The contribution margin per unit expressed as a percentage of the product's selling price is the: A. Volume variance B. Margin of safety C. Contribution margin ratio. D. Break-even point. E. Rate of retum on sales. 16. Which of the following best describes costs assigned to the product under the absorption costing method? Direct labor; Direct materials; Variable selling and administrative; Variable manufacturing overhead:; Fixed selling and administrative: Fixed manufacturing overhead A. All of these costs B. Direct labor. Direct materials, and Variable manufacturing overhead C. Direct labor, Direct materials, Variable manufacturing overhead, and Fixed manufacturing overhead. D. Direct labor and Direct materials E. Direct labor, Direct materials, Fixed selling and administrative, and Fixed manufacturing overhead