Over head application to jobvektek inc thinks a machine

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Over head application to job.

Vektek, Inc. thinks a machine hour is the best activity base for its manufacturing overhead. The estimate of annual overhead costs for its jobs was $615,000. The company used 1,000 hours of processing on Job No. B12 during the period and incurred overhead costs totaling $630,000. The budgeted machine hours for the year totaled 20,000. How much overhead should be applied to Job No. B12?

a)    $630

b)   $30,750

c)    $31,500

d)   $615

Reference no: EM13355827

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