The McGreen Company employees worked 10,000 hours last year with an average hourly rate of $11 per hour. The overhead was $495,000. If overhead is based on direct labor costs, then the overhead rate is ________ per direct labor dollar.
A) $11.00
B) $49.50
C) $4.50
D) $4.95 495,000/(10,000 x 11) .
Correct Answer:
Verified
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