Question

If the overhead rate is $10 per machine hour and there are 20 labor hours, 16...

If the overhead rate is $10 per machine hour and there are 20 labor hours, 16 machine hours, and two personnel on the job, how much overhead should be applied to the job?

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Answer #1

Answer:

Overheads to be applied to the job = $160

Explanation:

Given,

Overhead rate = $10 per machine hour

Also given, there are 20 labour hours , 16 machine hours and two personnel on the job.

But we have to consider only machine hours as it is clearly given that the overhear rate is $10 per machine hour.

:. Total Overheads = Rate * Machine Hours

= $10 * 16

= $160

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