Question

Job XXX required 260 direct labour hours of which 220 hours were incurred during the current...

Job XXX required 260 direct labour hours of which 220 hours were incurred during the current accounting period.

The predetermined overhead cost rate is £7.50 per direct labour hour. How much overhead should be applied to Job

XXX during the current accounting period ?

a.

£915

b.

£1,650

c.

£1,950

d.

£366

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Answer #1
overhead applied to jobs
predetermined overhead rate*actual direct labor hour
220*7.5
1650
answer)
option b
1,650
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