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Albert Tubes Co . uses machine hours as the predetermined overhead rate to apply manufacturing overhead to jobs. This year, the company worked 1 2

Albert Tubes Co. uses machine hours as the predetermined overhead rate to apply manufacturing overhead to jobs. This year, the company worked 12000 actual direct labor hours and used 11000 machine hours. The total overhead cost incurred was $65000.
The company had estimated that it would work 3000 direct labor hours, and use 5000 machine hours, during the year.
The allocation rate based on direct labour hours is $11 per direct labour hour and the allocation rate based on machine hours is $6 per machine hour.
How much overhead was estimated?

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