Question
Lueckenhoff Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate
Lueckenhoff Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $497,000, variable manufacturing overhead of $2.40 per direct labor-hour, and 70,000 direct labor-hours. The company has provided the following data concerning Job T498 which was recently completed:
Number of units in the job | 40 | |
Total direct labor-hours | 80 | |
Direct materials | $ | 950 |
Direct labor cost | $ | 2,720 |
The amount of overhead applied to Job T498 is closest to: (Round your intermediate calculations to 2 decimal places.)
Multiple Choice
$952
$192
$568
$760
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