Multiple Choice
Deltan Corp. allocates overhead to production on the basis of direct labor costs. Deltan's total estimated overhead is $450,000 and estimated direct labor is $180,000. Determine the amount of overhead to be allocated to finished goods inventory if there is $20,000 of total direct labor cost in the jobs in the finished goods inventory.
A) $8,000.
B) $20,000.
C) $70,000.
D) $50,000.
E) $90,000.
Correct Answer:
Verified
Correct Answer:
Verified
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