Western Company allocates $10.00 overhead to products based on the number of machine hours used. The company uses a plantwide overhead rate with machine hours as the allocation base. Given the amounts below, how many machine hours does the company expect in department 2?

Estimated:	Department 1				Department 2
Manufacturing overhead costs	$	263,000			$	163,000
Direct labor hours		9,300	DLH			25,000	DLH
Machine hours		16,300	MH			?	MH

Multiple Choice

• 26,300 MH

• 87,830 MH

• 94,500 MH

• 35,600 MH

• 146,730 MH