Destin products uses a job-costing system with tow direct-cost categories (direct materials and direct manufacturing labour) and one manufacturing overhead pool. Destin allocates manufacturing overhead costs using direct manufacturing labour costs.

Destin provides the following information:

Actual Results for 2011	Budgeted for 2011
$1900000	$2000000	Direct material costs
1450000	1500000	Direct manufacturing labor costs
2755000	2700000	Manufacturing overhead costs

1- Compute the actual and budgeted manufacturing overhead rates for 2011.

2- During March, the job-cost record for job 626 contained the following information:

Direct materials used $40000

Direct manufacturing labour costs $30000

Compute the cost of Job 626 using (a) actual costing and (b) normal costing.

3- At the end of 2011, compute the under or overallocated manufacturing overhead under normal costing.