A manufacturing company allocates overhead at a fixed rate of $20 per hour based on direct labor hours.

A manufacturing company allocates overhead at a fixed rate of $20 per hour based on direct labor hours. During the month, total overhead incurred was $150,000, and the total direct labor hours worked was 4,000. Job number 5-50 had 600 hours of direct labor. What is the amount of overhead allocated to job 5-50?

Question 8 options:

$80,000

$75,000

$12,000

$18,000