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9) Sambell Manufacturing uses a predetermined manufacturing overhead rate to allocate overhead to individual jobs. At the beginning of the year, the company expected to
9) Sambell Manufacturing uses a predetermined manufacturing overhead rate to allocate overhead to individual jobs. At the beginning of the year, the company expected to incur the following: Manufacturing overhead costs $280,000 Direct labour cost 500,000 Machine hours 30,000 At the end of the year, the company had actually incurred the following: Direct labour cost $920,000 Depreciation on manufacturing plant and equipment 250,000 Property taxes on plant 35,000 Sales salaries 12,000 Delivery drivers' wages 8,000 Plant janitors' wages 10,000 Machine hours 25,500 hours Required: 1. Compute Sambell's indirect cost allocation rate based on labour cost. 2. Compute Sambell's indirect cost allocation rate based on machine hours. 3. How much overhead was allocated during the year if the allocation base was direct labour cost? 4. How much manufacturing overhead was incurred during the year
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