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Hidden Leaf Company currently uses a plantwide overhead application based on expected direct labor hours to be used. The following information is anticipated at the

Hidden Leaf Company currently uses a plantwide overhead application based on expected direct labor hours to be used. The following information is anticipated at the beginning of the year. Department K. Direct materials 17,000 Direct labor hours 5,000 Machine hours 10,000 Overhead 85,000 Direct Labor costs Department Ge P 25,000 P 10,000 2,000 P 115,000 P P37.50/h P 37.50/h Actual production, 25,000 units If the firm maintains the current method, what will be the overhead application rate? P 13.33/ DLH P 20/ DLH P 16.67/ MH P 14.98

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