Cabinets Unlimited uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments: Assembly and Sanding. The Assembly Department uses a departmental overhead rate of $50 per machine hour, while the Sanding Department uses a departmental overhead rate of $25 per direct labor hour. Job 603 used the following direct labor hours and machine hours in the two departments:

Actual results Assembly

Department Sanding

Department

Direct labor hours used 9 7

Machine hours used 10 8

The cost for direct labor is $30 per direct labor hour and the cost of the direct materials used by Job 603 is $1,500.

How much manufacturing overhead would be allocated to Job 603 using the departmental overhead rates?

Select one:

A.

$675

B.

$480

C.

$530

D.

$920