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Mendburg, Inc. is a consulting firm that offers optimal legal solutions. It allocates indirect costs using a single predetermined overhead allocation rate with direct labor

Mendburg, Inc. is a consulting firm that offers optimal legal solutions. It allocates indirect costs using a single predetermined overhead allocation rate with direct labor hours as the allocation base. The estimated indirect costs for this year amount to $160,000. The company is expected to work 4,000 direct labor hours during the year. The direct labor rate is $300 per hour. Clients are billed at 140% of direct labor cost. Last month, Mendburg's consultants spent 170 hours on Curelli, Inc. Calculate the operating income from Curelli. OA. $51,000 OB. $51,210 OC. $141,667 OD. $13,600

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