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Business, 25.06.2020 02:01 mshepherdmiller

Western Company allocates $10 overhead to products based on the number of machine hours used. The company uses a plantwide overhead rate with machine hours as the allocation base. Given the amounts below, how many machine hours does the company expect in department 2? Estimated: Department 1 Department 2
Manufacturing overhead costs $270,000 $170,000
Direct labor hours 10,000 DLH 32,000 DLH
Machine hours 17,000 MH MH

a. 98,000 MH
b. 151,700 MH
c. 27,000 MH
d. 90,700 MH
e. 37,000 MH

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