Chapter 9, Problem 9.9SE

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Rahul's Department Store is a merchandising company that uses the periodic inventory system.

In the current year, Preston Manufacturing incurred $225,000 in actual manufacturing overhead cost. The Manufacturing Overhead account showed that overhead was overapplied in the amount of $12,000 for the year. If the predetermined overhead rate was $15.00 per direct labor-hour, how many hours were worked during the year?