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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-hours | 33,000 | |
Total fixed manufacturing overhead cost | $ | 660,000 |
Variable manufacturing overhead per machine-hour | $ | 6 |
Recently, Job T687 was completed with the following characteristics:
Number of units in the job | 10 | |
Total machine-hours | 40 | |
Direct materials | $ | 715 |
Direct labor cost | $ | 1,430 |
The amount of overhead applied to Job T687 is closest to: (Round your intermediate calculations to 2 decimal places.)
Multiple Choice
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$208.00
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$1,040.00
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$1,167.40
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$660.00
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