Answer:
The correct answer is C.
Step-by-step explanation:
Giving the following information:
Western Company allocates $10 overhead to products based on the number of machine hours used.
Estimated: Department 1 Department 2
Manufacturing overhead costs $270,000 $170,000
Machine hours 17,000 MH ________MH
To calculate the number of machine-hours for Department 2, we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
10= 440,000/(17,000 + MH)
10*(17,000 + MH)= 440,000
170,000 + 10MH = 440,000
10MH = 270,000
Machine hours dept 2= 270,000/10= 27,000