Kalp Corporation has two production departments, Machining and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Departments predetermined overhead rate is based on machine-hours and the Finishing Departments predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates:

	Machining	Finishing
Machine-hours	19,000	12,000
Direct labor-hours	2,000	8,000
Total fixed manufacturing overhead cost	$136,800	$69,600
Variable manufacturing overhead per machine-hour	$ 1.80
Variable manufacturing overhead per direct labor-hour		$ 3.20

During the current month the company started and finished Job K928. The following data were recorded for this job:

Job K928:	Machining	Finishing
Machine-hours	90	10
Direct labor-hours	30	50
Direct materials	$775	$ 415
Direct labor cost	$630	$1,050

1. The predetermined overhead rate for the Machining Department is closest to:

Multiple Choice

• $7.20 per machine-hour

• $9.00 per machine-hour

• $21.38 per machine-hour

• $1.80 per machine-hour

2. The amount of overhead applied in the Machining Department to Job K928 is closest to:

Multiple Choice

• $783.00

• $810.00

• $162.00

• $171,000.00

3. The total amount of overhead applied in both departments to Job K928 is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

• $1,405

• $2,000

• $810

• $595

4. The total job cost for Job K928 is closest to: (Round your intermediate calculations to 2 decimal places.)

Multiple Choice

• $810

• $4,275

• $2,060

• $2,215