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jr3811 jr3811
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A year ago

Bulla Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Department’s predetermined overhead rate is based on machine-hours and the Customizing Department’s predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates:

MachiningCustomizing
Machine-hours28,00015,000
Direct labor-hours1,0001,000
Total fixed manufacturing overhead cost$120,400$60,000
Variable manufacturing overhead per machine-hour$ 2.50
Variable manufacturing overhead per direct labor-hour$ 5.00

During the current month the company started and finished Job K369. The following data were recorded for this job:

Job K369:MachiningCustomizing
Machine-hours7020
Direct labor-hours4080

Required:

Calculate the total amount of overhead applied to Job K369 in both departments. (Do not round intermediate calculations.)

Textbook 
Introduction to Managerial Accounting: Brewer Edition: 9e

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
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janel989janel989
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