[Ch2] Crafty Ceramics makes custom ceramic tiles. Being labor-paced, Crafty's factory applies production overhead based on direct labor cost. Shortly before March, Crafty estimated manufacturing overhead of $24,000 and estimated direct labor cost of $30,000 for the upcoming month. During March Crafty worked on 25 jobs; and purchased $25,600 of raw materials, paid direct labor cost of $40,000, and incurred manufacturing overhead costs, $28,000. What was the overhead application rate that the company should use? Assume the company uses the traditional normal costing. Select one: O a. 142.86% of direct labor cost. O b. 80% of direct labor cost. O c. 70% of direct labor cost. O d. 125% of direct labor cost. [Ch2] The entry when direct factory labor is assigned for charged] to jobs is a ebit to Select one: O a. Work in Process Inventory and a credit to Factory Labor. O b. Factory Labor and a credit to Manufacturing Overhead. O c. Manufacturing Overhead and a credit to Factory Labor. O d. Factory Labor and a credit to Work in Process Inventory. [Ch2] In accumulating raw materials costs, companies debit the cost of raw materials purchased in a perpetual system to Select one: O a. Work in Process. O b. Raw Materials Purchases. O c. Raw Materials Inventory. O d. Purchases