Problem 11-36 Standard Hours Allowed; Flexible Budget; Multiple Products; Insurance Company (LO 11-1, 11-2, 11-4) Gibralter Insurance Company uses a flexible overhead budget for its application-processing department. The firm offers five types of policies, with the following standard hours allowed for clerical processing. Automobile 1 hour Renter's 1 hour Homeowner's 2 hours Health 2 hours Life 5 hours The following numbers of insurance applications were processed during July. Automobile 250 Renter's 200 Homeowner's 100 Health 400 Life 200 The controller estimates that the variable-overhead rate in the application-processing department is $4.0