Question $21$

The total factory overhead for Diva$-$nation is budgeted for the year at $$180,000,$ divided into two departments: Cutting,

$$60,000,$ and Sewing, $$120,000.$ Diva$-$nation manufactures two types of men's pants: jeans and khakis. The jeans require $0\mathrm{.}05$

direct labor hour in Cutting and $0\mathrm{.}05$ direct labor hour in Sewing. The khakis require $0\mathrm{.}07$ direct labor hour in Cutting and

$0\mathrm{.}03$ direct labor hour in Sewing. Each product is budgeted for $20,000$ units of production for the year. What is the

departmental factory overhead rate for the Sewing Department?

A $$4$ per direct labor hour

$$5$ per direct labor hour

$$25$ per direct labor hour

$$75$ per direct labor hour