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Cost allocation base is direct labor hours (DLH) Total estimated manufacturing overhead costs = $1,000,000 Total estimated direct labor hours for the year = 62,500

Cost allocation base is direct labor hours (DLH)

Total estimated manufacturing overhead costs = $1,000,000

Total estimated direct labor hours for the year = 62,500 DLHs

Job #603 actually used 500 DLHs for the year

2. Calculate the manufacturing overhead to be allocated based on direct labor cost to job #603.

Allocated MOH =

for Job #603

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