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cheezymac cheezymac
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A year ago

Marciante Corporation has two production departments, Casting and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department’s predetermined overhead rate is based on machine-hours and the Finishing 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:

CastingFinishing
Machine-hours17,00010,000
Direct labor-hours2,0005,000
Total fixed manufacturing overhead cost$ 105,400$ 52,000
Variable manufacturing overhead per machine-hour$ 1.70
Variable manufacturing overhead per direct labor-hour$ 3.90

The estimated total manufacturing overhead for the Casting Department is closest to:



▸ $387,260

▸ $134,300

▸ $28,900

▸ $105,400
Textbook 
Introduction to Managerial Accounting: Brewer Edition: 9e

Introduction to Managerial Accounting: Brewer Edition: 9e


Edition: 9th
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thomas1993thomas1993
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cheezymac Author
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Helped a lot
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This helped my grade so much Perfect
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Thanks for your help!!
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