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Stacey Clothing
Stacey Clothing Assigns Overhead to Clients Based on Total

Question 27

Multiple Choice

Stacey Clothing
Stacey Clothing assigns overhead to clients based on total labour hours. The following information is available for the month of June:
 Estimated direct labour hours 4000 hours  Estimated indirect labour hours 2000 hours  Estimated overhead costs $18000 Actual total labour hours 6400 hours  Actual overhead costs $17500\begin{array}{ll}\text { Estimated direct labour hours } & 4000 \text { hours } \\\text { Estimated indirect labour hours } & 2000 \text { hours } \\\text { Estimated overhead costs } & \$ 18000 \\\text { Actual total labour hours } & 6400 \text { hours } \\\text { Actual overhead costs } & \$ 17500\end{array}


-The predetermined overhead rate for the month of June is:


A) $4.50 per labour hour
B) $9.00 per labour hour
C) $3.00 per labour hour
D) $1.90 per labour hour

Correct Answer:

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