5 nts Step 2: Calculate the predetermined overhead rate in each department. Milling Department Overhead Rate: $510,000 60,000 machine-hours = $8.50 per machine-hour Assembly Department Overhead Rate: $800,000 80,000 direct labor-hours $10.00 per direct labor-hour Step 3: Calculate the amount of overhead applied from both departments to Job 407. Milling Department: Overhead Applied to Job 407 = $8.50 per MH x 90 MHs = $765 Step 4: Calculate the total job cost for Job 407. Assembly Department: Overhead Applied to Job 407 =$10.00 per DLH x 20 DLHS = $200 30s Direct materials Direct labor Manufacturing overhead applied Total cost of Job 407 0:00 / 7:17 Milling Assembly $800 $370 Total $1,170 $ 70 $280 $765 $200 350 965 $2,485 1x CC 1. Which of the following statements is true? When using multiple predetermined overhead rates, each cost pool uses the equation Y = a + bx to estimate the total amount of the allocation base. When using multiple predetermined overhead rates, only cost pools that use direct labor-hours as the allocation base use the equation Y= a + bx to estimate total overhead costs. When using multiple predetermined overhead rates, only cost pools that use machine-hours as the allocation base use the equation Y= a + bx to estimate total overhead costs. When using multiple predetermined overhead rates, each cost pool uses the equation Y= a + bx to estimate total overhead costs. 2. When using multiple predetermined overhead rates: each cost pool's numerator may include direct labor-hours or machine-hours. each of these rates is multiplied by the estimated amount of the allocation base used by each job. each cost pool's numerator may include fixed and variable manufacturing overhead. each cost pool must use the same allocation base, such as direct labor-hours.