Reference no: EM132576595
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:
Machining Customizing
Machine-hours 30,000 10,000
Direct labor-hours 3,000 10,000
Total fixed manufacturing overhead cost $141,000 $47,000
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: Machining Customizing
Machine-hours 50 20
Direct labor-hours 30 50
Required:
Question 1: Calculate the total amount of overhead applied to Job K369 in both departments. (Do not round intermediate calculations.)
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