For Wilton Company, the predetermined overhead rate is 70% of direct labor cost.During the month, $360,000 of factory labor costs are incurred of which $100,000 is indirect labor.Actual overhead incurred was $180,000.The amount of overhead debited to Work in Process Inventory should be:

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Overhead applied = (Direct labor cost + Indirect labor cost) x Predetermined overhead rate= ($360,000 - $100,000) x 70%= $260,000 x 70%= $182,000

For Wilton Company, the Predetermined Overhead Rate Is 70% of Direct