Reference no: EM132611345

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                                                20,000                                16,000

Direct labor-hours                                              5,000                                 1,000

Total fixed manufacturing overhead cost                $80,000                         $73,600

Variable manufacturing overhead per machine-hour      $2.00

Variable manufacturing overhead per direct labor-hour   $4.00

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                     80                              10

Direct labor-hours                  30                                  70

Required:

Problem 1: Calculate the total amount of overhead applied to Job K369 in both departments. (Do not round intermediate calculations.)