Gerstein Corporation Uses a Job-Order Costing System with a Single

Multiple Choice

Gerstein Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $90,000, variable manufacturing overhead of $3.70 per direct labor-hour, and 50,000 direct labor-hours. The company recently completed Job M800 which required 150 direct labor-hours.
-The amount of manufacturing overhead that would have been applied to all jobs during the period is closest to:

A) $831,600
B) $54,000
C) $774,900
D) $738,000