A company uses a predetermined manufacturing overhead rate to allocate overhead to individual jobs based on the machine hours required. At the beginning of the year, the company expected to incur the following:

     

Actual end of year costs Direct labor cost. Depreciation on manufacturing plant and equipment. Property taxes on plant.... Sales salaries. Delivery drivers' wages... Plant janitors' wages.. Machine hours. .. .. Manufacturing overhead costs. Direct labor cost Machine hours. ..... Beginning of year estimated costs $ $ $ $ $ $ 1,200,000 480,000 22,000 24,500 14,000 11,000 54,500 hours 69 69 $ 580,000 $ 1,300,000 72,500 - X