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marcsleiman marcsleiman
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A year ago

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:

MillingCustomizing
Machine-hours18,00013,000
Direct labor-hours4,0007,000
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:MillingCustomizing
Machine-hours6010
Direct labor-hours2060
Direct materials$ 655$ 305
Direct labor cost$ 400$ 1,200

The amount of overhead applied in the Customizing Department to Job A319 is closest to: (Round your intermediate calculations to 2 decimal places.)



▸ $234.00

▸ $786.00

▸ $552.00

▸ $91,700.00
Textbook 
Introduction to Managerial Accounting: Brewer Edition: 9e

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
Authors:
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chanelfargesenchanelfargesen
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A year ago
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