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X Company has two production departments, A and B. At the start of the year, the following budgeted information is available: Department A Overhead $7,300,000 Direct labor hours 40,000 Machine hours 120,000 Department B Overhead $2,100,000 Direct labor hours 50,000 Machine hours 130,000 The following information is for two specific jobs, Job 111 and Job 222, that were completed during the year: Department A Department B Job 111 Direct labor hours 842 164 Machine hours 1,040 820 Job 222 Direct labor hours 488 567 Machine hours 1,270 730 Using a plantwide allocation system with machine hours as the cost driver, what is the allocation to Job 222 (round overhead rates to the nearest cent and your answer to the nearest dollar)?
Using a departmental allocation system with machine hours as the cost driver in Department A and direct labor hours as the cost driver in Department B, what is the allocation to Job 222 (round overhead rates to the nearest cent and your answer to the nearest dollar)?
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