Lowden Company has an overhead application rate of 159% and allocates overhead based ondirect material cost. During the current period, direct labor cost is $56,000 and direct materials used cost $86,000. Determine the amount of overhead Lowden Company should record in the current period.

Multiple Choice

• $136,740.
• $54,088.
• $86,000.
• $35,220.
• $56,000.