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 $50 per machine hour, while the Sanding Department uses a departmental overhead rate of $30 per direct labor hour. Job 542 used the following direct labor hours and machine hours in the two departments: Assembly Department Sanding Department Actual results Direct labor hours used Machine hours used 10 o The cost for direct labor is $25 per direct labor hour and the cost of the direct materials used by Job 542 is $1,500. What was the total cost of Job 542 if Lucas Industries used the departmental overhead rates to allocate manufacturing overhead? O A. $1,825 O B. $1,850 OC. $2,450 OD. $2,445 The Heartlake Corporation manufactures and sells toy gyroscopes. The following data is related to sales and production of the toy gyroscopes for last year. Selling price per unit Variable manufacturing costs per unit Variable selling and administrative expenses per unit Fixed manufacturing overhead (in total) Fixed selling and administrative expenses (in total) Units produced during the year Units sold during year $8.20 $1.85 $4.85 $77,000 $84,000 530,000 180,000 Using variable costing, what is the operating income for last year? O A. $109,000 O B. $1,476,000 O C. $431,000 OD. $270,000 The manager at Rainbow International prepares a Cost of Quality report to report the following expenses: Inspection of raw material costs Warranty costs warranty claims Cost to dispose of rejected products Train hourly manufacturing personnel Rework of batch #2894 Production losses due to machine malfunctions Cost of defective products found at inspection audit Inspecting products when halfway through the production process $6,300 $290,000 $15,000 $70,000 $180,000 $30,000 $68,000 $23,000 Which of the following total cost is the total cost of quality in the external failure cost category? O A. $6,300 OB. $180,000 O C. $290,000 OD. $225,000 O E. $638,000