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How much overhead will be applied to a job incurring

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Reference no: EM132715166

Problem - Patterson Corporation expects to incur $70,000 of factory overhead and $60,000 of general and administrative costs next year. Direct labor costs at $5 per hour are expected to total $50,000. If factory overhead is to be applied per direct labor hour, how much overhead will be applied to a job incurring 20 hours of direct labor?

a. $120

b. $260

c. $28

d. $140

Reference no: EM132715166

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