Barbeau Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Departments predetermined overhead rate is based on machine-hours and the Customizing Departments predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates:

	Milling		Customizing
Machine-hours		17,000		13,000
Direct labor-hours		2,000		5,000
Total fixed manufacturing overhead cost	$	119,000	$	42,000
Variable manufacturing overhead per machine-hour	$	1.60
Variable manufacturing overhead per direct labor-hour			$	4.30

During the current month the company started and finished Job A492. The following data were recorded for this job:

Job A492:	Milling		Customizing
Machine-hours		90		20
Direct labor-hours		20		50

The amount of overhead applied in the Milling Department to Job A492 is closest to: (Round your intermediate calculations to 2 decimal places.)

Garrison 16e Rechecks 2017-06-28

Multiple Choice

$146,200.00

$144.00

$756.00

$774.00