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A company allocates $7.50 overhead to products based on the number of direct labor hours worked. The company uses a plantwide overhead rate with direct
A company allocates $7.50 overhead to products based on the number of direct labor hours worked. The company uses a plantwide overhead rate with direct labor hours as the allocation base. Given the amounts below, how many direct labor hours does the company expect in department 2?
Estimated: | Department 1 | Department 2 |
Manufacturing overhead costs | $74,358 | $49,572 |
Direct labor hours | 6,610 DLH | ? DLH |
Machine hours | 700 MH | 800 MH |
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