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Cost accumulation in two departments Rio Valde Co. uses a normal cost, job order costing system. In the Mixing Department, overhead is applied using

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Cost accumulation in two departments Rio Valde Co. uses a normal cost, job order costing system. In the Mixing Department, overhead is applied using machine hours; in Paving, overhead is applied using direct labor hours. In December of Year One, the company estimated the following data for its two departments for Year Two: Direct labor hours Machine hours Mixing Department Paving Department 4800 24,000 Budgeted overhead cost $192.000 11,200 4,800 $200,000 a. Compute the predetermined OH rate for each department of Rio Valde Predetermined OH Rate Mising Departments Pang Department 1 b.job #220 was started and completed during March of Year Two. The job cost sheet shows the following information Direct material Direct labor cost Mixing Department Paving Department 5,040 1500 $1.360 $1430 Derect labor hos Martine hours 116 176 Compute the overhead applied to job #220 for each department and in total Mixing Department Paving Department Tuul Applied Overhead to job #230 The president of Ro Valde suggested that, for simplicity, a single predetermined overhead rate be computed using machine hours. How much overhead would have been applied to job #2204 that single rate had been used? Note: Round your final answer to the nearest whole dollar. b. Job # 220 was started and completed during March of Year Two. The job cost sheet shows the following information: Mixing Department Paving Department Direct material Direct labor cost Direct labor hours Machine hours $9,040 $500 9.6 116 $1,360 $1,620 136 17.6 Compute the overhead applied to Job # 220 for each department and in total. Applied Overhead to Job #220 Mixing Department $ 52 x Paving Department Total 12 x $ 64 x c. The president of Rio Valde suggested that, for simplicity, a single predetermined overhead rate be computed using machine hours. How much overhead would have been applied to Job # 220 if that single rate had been used? Note: Round your final answer to the nearest whole dollar, $ 0 x

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