Answer:
$280
Explanation:
The computation of the overhead assigned is shown below:
But for that, first we have to compute the predetermined overhead rate which is shown below:
Predetermined overhead rate = (Total estimated manufacturing overhead) ÷ (estimated direct labor-hours)
= ($35,000) ÷ (5,000 direct labor hours)
= $7 per direct labor hour
Now the overhead assigned is
= 40 direct labor hours × $7 per direct labor hour
= $280
