If the company allocates all of its overhead based on direct labor-hours using its traditional costing method, the overhead assigned to each unit of Product P9 would be closest to:

A) $159.12 per unit
B) $553.68 per unit
C) $452.28 per unit
D) $2,205.42 per unit

Direct Labor-Hours

Direct labor-hours refer to the total number of hours worked by employees that are directly involved in the manufacturing process of a company's products.

Traditional Costing

A costing method that applies indirect costs to products based on a predetermined overhead rate, often not considering the actual activities that incur costs.

Overhead Assigned

The process of allocating manufacturing overhead costs to specific units of product based on a predetermined rate or method.