Anton believes his company's overhead costs are driven (affected) by the number of machine hours because the production process is heavily automated. during the period, the company produced 3,000 units of product a requiring a total of 100 machine hours and 2,000 units of product b requiring a total of 25 machine hours. what allocation rate should be used if the company incurs overhead costs of $10,000?

(a) $2 per unit
(b) $2 per machine hour
(c) $80 per unit
(d) $80 per machine hour

Speedy auto repairs uses a job-order costing system. the company’s direct materials consist of replacement parts installed in customer vehicles, and its direct labor consists of the mechanics’ hourly wages. speedy’s overhead costs include various items, such as the shop manager’s salary, depreciation of equipment, utilities, insurance, and magazine subscriptions and refreshments for the waiting room. the company applies all of its overhead costs to jobs based on direct labor-hours. at the beginning of the year, it made the following estimates: direct labor-hours required to support estimated output 20,000 fixed overhead cost $ 350,000 variable overhead cost per direct labor-hour $ 1.00 required: 1. compute the predetermined overhead rate. 2. during the year, mr. wilkes brought in his vehicle to replace his brakes, spark plugs, and tires. the following information was available with respect to his job: direct materials $ 590 direct labor cost $ 109 direct labor-hours used 6