Orange,Inc

Multiple Choice

Orange,Inc.has identified the following cost drivers for its expected overhead costs for the year:
Total direct labor hours budgeted = 2,000 hours.
The following data applies to Product X,one of the products completed during the year
If a volume-based costing system based on direct labor hours to assign overhead is used,the total overhead cost for Product X will be:

A) $1,500.
B) $1,560.
C) $2,000.
D) $2,400.
E) $2,560.