Decorte 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 the following data:Total direct labor-hours10,000Total fixed manufacturing overhead cost$ 33,000Variable manufacturing overhead per direct labor-hour$ 2.50 Recently, Job K332 was completed with the following characteristics:Number of units in the job70Total direct labor-hours140Direct materials$ 455Direct labor cost$ 5,320The total job cost for Job K332 is closest to:

A. $6,132
B. $6,587
C. $1,267
D. $5,775


Answer: B

Business

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