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What was the amount of overhead allocated to product a

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Question - The Romanowksi Manufacturing Company uses a plant wide overhead rate to allocate overhead with direct labor hours as its cost driver. The budgeted direct labor was $750,000 with an hourly rate of $25. The budgeted overhead spending was $3,000,000. During the first month of the year, Romanowski manufactured 100 pieces of product A using 2,500 direct labor hours. What was the amount of overhead allocated to Product A?

A. $210,000

B. $62,500

C. $225,000

D. $250,000

Reference no: EM132529228

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