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17 02:09:27 TB MC Qu. 2-69 (Algo) Mahon Corporation has two production departments... Mahon Corporation has two production departments, Casting and Customizing. The company
17 02:09:27 TB MC Qu. 2-69 (Algo) Mahon Corporation has two production departments... Mahon Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes predetermined overhead rate in each production department. The Casting 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: Direct labor-hours Casting 17,800 5,800 $122,820 Customizing 13,800 6,900 $ 75,900 $ 2.50 $4.90 Machine-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour During the current month the company started and finished Job T138. The following data were recorded for this job: Job T1381 Machine-hours Direct labor-hours Casting 60 9 Customizing 40 60 The amount of overhead applied in the Customizing Department to Job T138 is closest to: (Round your intermediate calculations to 2 decimal p 5 points 2 02:09:17 $832.00 $416.00 $109,710.00 $954.00
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