Allocating overhead to departments and jobs. The accountants of Cameron Production Company, a company that makes television commercials, made the following estimates for a year:

a. Compute the overhead allocation rates for each department using direct labor hours as a basis.

b. Management wants to know how much the Sanyo commercial job cost. The following table shows the materials and labor costs; you will have to add the overhead costs using direct labor hours as the allocation base.

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Estimated Overhead. Estimated Direct Labor Time. Filming Department Editing Department $66,000 $100,000 5,500 Hours 6.250 Hours Printing Department $120,000 6,000 Hours