Country Products manufactures quilt racks. Pine is introduced in Department 1, where the raw material is cut and assembled. In Department 2, completed racks are stained and packaged for shipment. Department 1 applies overhead on the basis of machine hours; Department 2 applies overhead on the basis of direct labor hours. The companys predetermined overhead rates were computed using the following information: Department 1 Department 2 Expected overhead $465,000 $380,600 Expected DLHs 4,000 22,000 Expected MHs 30,000 2,500 Sue Power contacted Country Products to produce 500 quilt racks as a specialorder. Power wanted the racks made from teak and to be made larger than the companys normal racks. Country Products designated Powers order as Job #462