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Diamond Industries uses departmental overhead rates to allocate its makufacturing overhead to jobe. The company has two departments Assembly and Sanding. The A scembly Department
Diamond Industries uses departmental overhead rates to allocate its makufacturing overhead to jobe. The company has two departments Assembly and Sanding. The A scembly Department uses a departmental overhead rate of $ per madhine hour, while the Sanding Department uses a departmental overhe ad rate of $ per direct labour hour. Job used the following direct labour hours and machine hours in the two departments:
tableActual reaults,tableAssemblyDepartmenttableSandingDepartmentDirect labour hours used,Machine hours used,
The cost for direct labour is $ per direct labour hour and the cost of the direct materials used by Job is $
What was the total cost of Job if Babcock Industries used the departmental overhead rates to allocate manufacturing overhead?
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