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Orange Corporation manufactures custom-made wallets. The following data pertains to Job GH7: Direct materials placed into production $5,000 Direct labor hours worked 75 hours Direct
Orange Corporation manufactures custom-made wallets. The following data pertains to Job GH7:
| Direct materials placed into production | $5,000 |
| Direct labor hours worked | 75 hours |
| Direct labor rate per hour | $35 |
| Machine hours worked | 200 hours |
Factory overhead is applied using a plant-wide rate based on direct labor hours. Factory overhead was budgeted at $100,000 for the year, and the direct labor hours were estimated to be 25,000. Job GH7 consists of 60 units. What is overhead cost assigned to Job GH7?
a. $160
b. $400
c. $240
d. $210
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