Nizwa manufacturing LLC has furnished the following information for the month of January 2020: Materials used is RO 5,000, Direct labor is RO 2,000, Labor hours worked is 1,000, Hours of machine operation is 800 and Overhead cost is RO 1,500. The department during the period has executed an order (job). The relevant information is as follows: Materials used is RO 1,000, Direct labor is RO 900, Labor hours worked is 300 and Hours of machines operation is 150. Calculate the overhead chargeable to the job based on percentage of direct material cost.

a. RO 450

b. RO 281

c. RO 675

d. RO 300

Ibra manufacturing LLC has furnished the following information for the month of March 2019: Materials used is RO 45,000, Direct labor is RO 28,000, Labor hours worked is 7,000, Hours of machine operation is 5,000 and Overhead cost is RO 21,000. The department during the period has executed an order (job). The relevant information is as follows: Materials used is RO 2,000, Direct labor is RO 1,200, Labor hours worked is 500 and Hours of machines operation is 225. Calculate the overhead chargeable to the job based on direct labor hour rate.

a.

RO 945

b.

RO 933

c.

RO 1,500

d.

RO 900