Sylvan Manufacturing applies overhead based on direct labor hours.At the beginning of the year,it estimated that overhead costs would be $150,000 and direct labor hours would be 15,000.The applied overhead rate per direct labor hour is:

Question

Quizplus · Accepted Answer

To calculate the applied overhead rate per direct labor hour, divide the estimated overhead costs by the estimated direct labor hours: 
$150,000 ÷ 15,000 = $10.00. Therefore, the correct answer is C.

Sylvan Manufacturing Applies Overhead Based on Direct Labor Hours