2 3 Data 4 Markup on job cost 75% 5 6 Department 7 Milling Assembly 8 Machine-hours 60,000 3,000 9 Direct labor-hours 8,000 80,000 10 Total fooed manufacturing overhead cost $390,000 $500,000 11 Variable manufacturing overhead per machine-hour $2.00 12 Variable manufacturing overhead per direct labor-hour $3.75 13 14 Cost summary for Job 407 Department 15 Milling Assembly 16 Machine hours 90 17 Direct labor-hours 5 20 18 Direct materials $800 $370 19 Direct labor cost $70 $280 20 21 Enter a fomula into each of the cells marked with a ? below 22 23 Step 1: Calculate the estimated total manufacturing overhead cost for each department 24 Milling Assembly 25 Total faced manufacturing overhead cost ? ? 26 Variable manufacturing overhead per machine-hour or direct labor-hour ? ? 27 Total machine-hours or direct labor-hours ? ? 28 Total variable manufacturing overhead 2 ? 29 Total manufacturing overhead ? 2 30 31 Step 2: Calculate the predetermined overhead rate in each department 32 Milling Assembly 33 Total manufacturing overhead 34 Total machine-hours or direct labor hours 35 Predetermined overhead rate per machine-hour or direct labor-hour 26 Miling ? 2 ? Assembly 2 ? 2 Assembly Total 37 Step 3: Calculate the amount of overhead applied from both departments to Job 407 38 39 Predetemined overhead rate per machine-hour or direct labor-hour 40 Machine-hours or direct labor-hours for the job 41 Manufacturing overhead applied 42 43 Stap 4: Calculate the total job cost for Job 407 Miling 45 Direct materials ? 46 Direct labor cost ? 47 Manufacturing overhead applied ? 48 Total cost of Job 407 49 50 Step 5: Calculate the selling price for Job 407 51 Total cost of Job 407 52 Markup 53 Slling price of Job 407 54 55 2 2 2 2 ? ? ? ? ? 2