Dragon Fire Hot Sauce makes two types

| June 14, 2018

Dragon Fire Hot Sauce makes two types of hot sauces—meek and mild. Budgeted information for the two flavors appears below:MeekMildSales$600,000$400,000Direct materials$100,000$120,000Direct labor cost$108,000$180,000Labor hourly cost$12.00$12.00The company estimates it will incur $250,000 in overhead costs for the period. Dragon Fire allocates overhead cost to products based on the labor cost incurred. How much overhead is assigned to Meek? A.$113,636B.$150,000C.$20,833D.$93,750

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