Calculating overhead rates. For the current year, 19X7, the estimated manufacturing overhead for the Preparing Department is

Question:

Calculating overhead rates. For the current year, 19X7, the estimated manufacturing overhead for the Preparing Department is $156,000. The estimated number of units of production is 260,000. The company uses the units of production basis for overhead rates. How much overhead should be applied to

(a) Job 240 for 1,780 units and

(b) Job 243 for 3,480 units?

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