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ABC Manufacturing uses departmental cost driver rates to allocate manufacturing overhead costs to products. Manufacturing overhead costs are allocated on the basis of machine-hours in
ABC Manufacturing uses departmental cost driver rates to allocate manufacturing overhead costs to products. Manufacturing overhead costs are allocated on the basis of machine-hours in the Machining Department and on the basis of direct labor-hours in the Assembly Department. At the beginning of 2020, the following estimates were provided for the coming year: Assembly Direct labor-hours Machine-hours Direct labor cost Manufacturing overhead costs Machining 40,000 50,000 20,000 25,000 $475,000 $875,000 $450,000 $250,000 The accounting records of the company show the following data for Job # 123: Direct labor-hours Machine-hours Direct material cost Direct labor cost Machining Assembly 120 95 85 5 $425 $200 $150 $400 What amount of manufacturing overhead costs will be allocated to Job #123? Round up your answer to the nearest dollar. Instructions: Round your answer to the nearest dollar, and do not include cents, commas. % or $. For example: if the answer is 10000 simply write 10000 (and NOT $10,000, $10,000.00, 10,000.00. $10000.00 or 10000.00)
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