q2

Mazoon Leather Company decided to use a multiple predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate chosen is labor hours for Primary Treatment Department and machine hours for Secondary Treatment Department. The accounting records shows the following estimates made at the beginning of the year: Primary Treatment Manufacturing overhead cost Secondary Treatment $ 60,000 15,000 $ 120,000 Machine-hours 2,000 Direct labor hours 3,000 9,000 Direct labor cost $ 30,000 $ 20,000 What predetermined overhead rates would be used in Mazoon Leather for Primary Treatment Department and Secondary Treatment Department, respectively? Om None of the given answer Ob$40 and 300% OG $4 and 300% Od 400% and 54 $40 and 54