Job costing and overhead application Oxford Enterprises uses a job costing system to accumulate manufacturing Overhead is applied to products on the basis of machine hours in the maching, department and direct labor cost in the assembly department. The followigesti mates pertain to 20 Assembly Machining 10.000 Machine hours Direct labor cost $270,000 5800.000 Factory overhead $10.000 960.000 job No 328 was the only job in process at the end of 20X4. Its cost sheet revealed the data that follow: Assembly Machining 100 $1,100 Machine hours 10 53,500 Direct labor cost Direct materials cost 1.900 3.400 a Compute Oxford's overhead application rates in the machining department and the assembly department. b. Calculate the total amount of overhead applied to job No. 328 c. Determine the total cost of job No. 328. 6. Overview of job costing and overhead application Evaluate the comments that follow as being true or false. If the comment is false briefly explain why a. A materials requisition forms the basis for the following journal entry: debit Work in Process, credit Raw Materials b. The Work in Process account normally contains the following costs for the jobs in production at year-end direct materials used direct labor and actual factory overhead c. Direct labor cost is a good overhead application base to use if a company is highly automated d. The amount of over or underapplied overhead at year-end is normally closed to the Work in Process account e. An overhead application rate is derived by the following computation estimated factory overhead divided by an estimated application base