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Bulla Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production

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

Machining

Customizing

Machine-hours

24,000

15,000

Direct labor-hours

1000

2000

Total fixed manufacturing overhead cost

$

108,000

$

70,500

Variable manufacturing overhead per machine-hour

$

1.50

Variable manufacturing overhead per direct labor-hour

$

3.00

During the current month the company started and finished Job K369. The following data were recorded for this job:

Job K369:

Machining

Customizing

Machine-hours

60

30

Direct labor-hours

40

60

Required:

Calculate the following:

Predetermined OH rate for Machining (round to 2 decimal places)

$

Predetermined OH rate for Customizing (round to 2 decimal places)

$

Total Amount of OH applied to job K369 through both departments (do not include commas)

$

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