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Lucas Industries uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments: Assembly and Sanding. The Assembly Department uses

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Lucas Industries uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments: Assembly and Sanding. The Assembly Department uses a departmental overhead rate of $45 per machine hour, while the Sanding Department uses a departmental overhead rate of $15 per direct labor hour. Job 603 used the following direct labor hours and machine hours in the two departments: Assembly Sanding Department Actual results Department Direct labor hours used 7 7 Machine hours used 11 6 The cost for direct labor is $20 per direct labor hour and the cost of the direct materials used by Job 603 is $1,200. How much manufacturing overhead would be allocated to Job 603 using the departmental overhead rates? O A. $280 O B. $675 O C. $515 O D. $600 -te f p for ter ns ems Suni D00

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