5. Award: 10.00 points Cosi Company uses a job order costing system and allocates its overhead on the basis of direct labor costs Cos expects to incur $800,000 of overhead during the next perlod, and expects to use 50,000 labor hours at a cost of $10.00 per hour What is Cosl Company's overhead application rate? 0 6.25% o 62.5% 0160% 01600% 67% References Multiple Choice Dificulity: 3 Hard Learning Objective: 15-P3 Describe and record the flow of overhead costs in job order costing 6. Award 10.00 points Portside Watercraft uses a job order costing system. During one month Portside purchased $173,000 of raw materials on credit, issued materials to production of $164,000 of which $24,000 were indirect. Portside incurred a factory payroll of $95,000, of which $25,000 was indirect labor. Portside uses a predetermined overhead rate of 170% of direct labor cost The journal entry to record the allocation of factory wages to production is: rev: 11 27 2015 OCCS-34731 O Debit Work in Process Inventory $95,000; credit Factory Wages Payable $95,000 O Debit Work in Process Inventory $95,000, credt Cash $95,000 O Debit Factory Wages Payable $95,000, credit Cash $95,000 O Debit Work in Process Inventory $70,000, debit Factory Overhead $25,000, credit Factory Wages Payable $95,000. O Debit Work in Process Inventory $70.000, debit Factory Overhead $25,000: credit Cash $95,000 References Learning Objective: 15-P2 Describe and record the flow of labor costs in job order costing Multiple Choice Difficulty: 3 Hard