Hamilton, Inc., uses a job system of cost accounting. The data presented here relate to operations in its plant during January. Hamilton, Inc., has two production departments and one service department. The actual factory overhead costs during the month are $8,000. At the end of the month Mr. Hamilton allocates overhead costs as follows: Department A, $4,200; Department B, $3,200; Department C, $600. He allocates the service department (Department C) overhead of $600 as follows: two-thirds to Department A, one-third to Department B. Mr. Hamilton applies factory overhead to jobs at the predetermined rates of 50 percent of direct labor costs in Department A and 75 percent in Department B. The firm delivers the jobs upon completion. The firm completed job nos. 789, 790, and 791 in January. Jobs 788 and 792 are still in process on January 31.

a. Complete the job production record in the following table by filling in the appropriate amounts. Be sure to show supporting calculations. (Job 788 has been done for you.)

b. For Departments A and B, compute the difference between the applied overhead using the predetermined rates and the actual overhead after allocating Department C overhead to Departments A andB.

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Job Production Record Direct Labor Direct Mat. Applied Overhead Jobs in Jobs in Costs Jan. 31 300 $300 $300 $4,800 $4,800 Process, Dept. Dept. Dep. Dept. Dept. Dept. Total Process, Completed Job Order No. Jan. 1 Jobs $2,400 600 S 400 600 500 788 789 1,700 1,200 900 600 1,600 800 1,100 700 2,000 1,200 1,200 900 2,400 1,600 1,800 800 790 791 Tota. $4,100 $7,800 $4,600 $5,500 3,300$