Assume That the Assembly Department Allocates Overhead Using a Plantwide

Multiple Choice

Assume that the Assembly Department allocates overhead using a plantwide overhead rate based on machine hours. How much total overhead will be assigned to a product that requires 1 direct labor hour and 2.5 machine hours in the Assembly Department, and 3.5 direct labor hours and 0.5 machine hours in the Finishing Department?

A) $13.00.
B) $10.50.
C) $6.00.
D) $11.00.
E) $7.50.