40. The Gladstone Company has a balance of $3,300 in its work-in-process (WIP) account at the end of the year. Job costs sheets indicate that this consists of costs incurred from two jobs still in process. Job A has incurred costs of $400 for direct materials and $800 for direct labor whereas Job B has incurred costs of $200 for direct materials and $400 for direct labor. If the company applied overhead based on a percentage of direct labor dollars, the company must be using a predetermined rate of: A. 45.45% C/ D. 80% 125% 275% LO3-Self test-C