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Assembly Dept. Finishing Dept. Total Overhead costs $7,500 $22,500 $30,000 Direct labour hours 7,500 2,500 10,000 Machine hours 2,500 7,500 10,000 Production information pertaining
Assembly Dept. Finishing Dept. Total Overhead costs $7,500 $22,500 $30,000 Direct labour hours 7,500 2,500 10,000 Machine hours 2,500 7,500 10,000 Production information pertaining to Job 4X4: Assembly Dept. Finishing Dept. Total Prime costs $1,250 $-0- $1,250 Direct labour hours 250 -0- 250 Machine hours 0 0 0 Units produced 500 0 500 Based on departmental overhead rates, what is the cost of Job 4X4? Departmental overhead rates for the Assembly Department are based on direct labour hours, while departmental overhead rates for the Finishing Department are based on machine hours. $7,500 $8,750 $1,500 $1,250
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