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The Davis Corporation uses the direct labor hour method of applying factory overhead to production. The budgeted factory overhead last year was $300,000, and

  

The Davis Corporation uses the direct labor hour method of applying factory overhead to production. The budgeted factory overhead last year was $300,000, and there were 50,000 machine hours and 40,000 direct labor hours budgeted. Job 564 was started and completed during the period. Direct materials costing $5,400 were incurred. Thirty-six direct labor hours were worked at a cost of $500, and 50 machine hours were incurred. What is the amount of factory overhead applied to Job 564? Select one: a. $375 b. $216 C. $300 d. $270

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