Question
Lupo Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for
Lupo Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data:
Total machine-hours30,500
Total fixed manufacturing overhead cost $610,000
Variable manufacturing overhead per machine-hour$6.00
Recently, Job T687 was completed with the following characteristics:
Number of units in the job 10
Total machine-hours 30
Direct materials. $690
Direct labor cost $1,370
The total job cost for Job T687 is closest to:
Multiple Choice
- $2,150
- $2,060
- $1,470
- $2,840
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