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Problem 1: Bayreuth Corporation estimated manufacturing overhead costs for the year to be SAR 800,000. Bayreuth also estimated 8,000 machine hours and 20,000 direct labor hours for the year. It bases the predetermined overhead allocation rate on direct labor hours. On June 30, Job 422 was completed. It required 4 machine hours and 3 direct labor hours. What is the amount of manufacturing overhead allocated to the completed job (round your intermediate calculations to one decimal place)? a. SAR 120b. SAR 400c. SAR 160d. SAR 350
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