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Sweet Company Applies Overhead to Jobs on the Basis of 125

Question 53

Multiple Choice

Sweet Company applies overhead to jobs on the basis of 125% of direct labour cost.If Job 107 shows $10,000 of manufacturing overhead applied,how much was the direct labour cost on the job:


A) $8,000.
B) $10,000.
C) $11,250.
D) $12,500.

Correct Answer:

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