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Kelson Company Applies Overhead to Jobs on the Basis of 60

Question 55

Multiple Choice

Kelson Company applies overhead to jobs on the basis of 60% of direct Labour cost. If Job 201 shows £27,000 of manufacturing overhead applied, the direct Labour cost on the job was


A) £16,200.
B) £27,000.
C) £37,800.
D) £45,000.

Correct Answer:

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