Question
Alpine Inc. allocates manufacturing overhead to each job using departmental overhead rates. Operations at Alpine are divided into a Grinding department and a Welding department.
Alpine Inc. allocates manufacturing overhead to each job using departmental overhead rates. Operations at Alpine are divided into a Grinding department and a Welding department. The Grinding department uses a departmental overhead rate of $50 per machine hour, while the Welding department uses a departmental overhead rate of $28 per direct labor hour. Job 923 used the following direct labor hours and machine hours in the two departments: Direct labor hours used: 6. /. 10
Machine hours used: 3. /. 4 The cost of direct labor and the cost of the direct materials used by Job 923 is $280 and $170 respectively. How much manufacturing overhead would be allocated to Job 923 using the departmental overhead rates?
$580 | ||
$384 | ||
$430 | ||
$612 |
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