Question 1 Ana Carillo and Associates is a medium-sized company located near a large metropolitan area in the Midwest. The company manufactures cabinets of mahogany, oak, and other fine woods for use in expensive homes, restaurants, and hotels. Although some of the work is custom, many of the cabinets are a standard size One such non-custom model is called Luxury Base Frame. Normal production is 1,240 units. Each unit has a direct labor hour standard of 5 hours. Overhead is applied to production based on standard direct labor hours. During the most recent month, only 1,120 units were produced; 5,600 direct labor hours were allowed for standard production, but only 5,000 hours were used. Standard and actual overhead costs were as follows. Actual (1,120 units) Standard (1,240 units) Indirect materials Indirect labor (Fixed) Manufacturing supervisors salaries (Fixed) Manufacturing office employees salaries (Fixed) Engineering costs Computer costs $ 15,800 56,600 29,600 17,100 35,500 13,100 3,300 10,500 3,900 2,000 s 16,200 67,100 28,900 16,400 32,900 13,100 3,300 10,500 3,900 2,000 1,840 (Fixed) Manufacturing building depreciation (Fixed) Machinery depreciation (Fixed) Trucks and forklift depreciation Small tools (Fixed) Insurance (Fixed) Property taxes 390 Total $189,370 197.190 Determine the overhead application rate. (Round answer to 2 decimal places, e.g. 15.75.) Overhead application rate per direct labor hour s Attempts: 0 of 3 used SAVE FOR LATER