Question
Everlast Co. manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $444,000 payroll for 5,000 direct
Everlast Co. manufactures a variety of drill bits. The company's plant is partially automated. The budget for the year includes $444,000 payroll for 5,000 direct labor-hours. Listed below is cost driver information used in the product-costing system: Overhead Cost Pool Budgeted Overhead Cost Driver Estimated Cost Driver Level Machine setups $ 171,250 # of setups 130 setups Materials handling 105,000 # of barrels 8,750 barrels Quality control 300,000 # of inspections 1,200 inspections Other overhead cost 175,000 # of machine hours 12,500 machine hours Total overhead $ 751,250 A current product order has the following requirements: Machine setups 10 setups Materials handling 612 barrels Quality inspections 81 inspections Machine hours 800 machine hours Direct labor hour 348 hours What is the total manufacturing overhead for the current product order if the firm uses a plantwide rate based on direct labor-hours? (Round your intermediate calculation to 2 decimal places.) Multiple Choice $10,010. $30,902. $42,800. $52,287. $120,200.?
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