Mosbach Corporation uses a standard cost system to apply overhead to products based on standard direct labor hours. The document provides data on variable overhead costs, total fixed overhead costs, budgeted standard direct labor hours, actual direct labor hours, and standard direct labor hours allowed for actual output. It then shows the calculation of the predetermined overhead rate of $11 per direct labor hour and the overhead amount of $902,000 that would be applied based on the standard direct labor hours allowed for actual output of 82,000 hours.