Q$25.$A company uses a job costing system and allocates overhead using an estimated overhead allocation

rate based on direct labor hours. Information for a particular job is as follows:

Estimated Actual

Manufacturing overhead SAR $28,000$ SAR $21,000$

Direct labor hours $4,0005,000$

The estimated overhead allocation rate for the job will be:

A$.$ SAR $8$

B$.$ SAR $7$

C$.$ SAR $11$

D$.$ SAR $9$