Comans Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling 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:
| Milling | Customizing |
|---|
| Machine-hours | 18,000 | 13,000 |
|---|
| Direct labor-hours | 4,000 | 7,000 |
|---|
| Total fixed manufacturing overhead cost | $ 113,400 | $ 64,400 |
|---|
| Variable manufacturing overhead per machine-hour | $ 1.60 | |
|---|
| Variable manufacturing overhead per direct labor-hour | | $ 3.90 |
|---|
During the current month the company started and finished Job A319. The following data were recorded for this job:
| Job A319: | Milling | Customizing |
|---|
| Machine-hours | 60 | 10 |
| Direct labor-hours | 20 | 60 |
| Direct materials | $ 655 | $ 305 |
| Direct labor cost | $ 400 | $ 1,200 |
The amount of overhead applied in the Milling Department to Job A319 is closest to: (Round your intermediate calculations to 2 decimal places.)
▸ $142,200.00
▸ $552.00
▸ $96.00
▸ $474.00
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