[The Following Information Applies to the Questions Displayed Below

Multiple Choice

[The following information applies to the questions displayed below.]
Capri Boat Corporation uses a job order cost system and applies overhead based on a percentage of direct labor cost.Cost flows through the Work in Process Inventory account during March are given below:
Only Job #007 was still in process at the end of March and this job had been charged with $40,000 in direct materials cost.
-The amount of overhead costs applied to Job #007 during March was:

A) $90,000.
B) $26,250.
C) $65,000.
D) $60,000.