Multiple Choice

• $12.44

• $12.14

• $11.67

• $11.44

Assume a company has two manufacturing departments - Assembly and Fabrication. The company considers all of its manufacturing overhead costs to be fixed costs. The first set of data below is budgeted data for the company as a whole that was estimated at the beginning of the year. The second set of data below is actual data for the company as a whole that was derived at the end of the year. The third set of data relates to one particular job completed during the year- Job Z. Budgeted Data Manufacturing overhead costs Direct labor hours Machine hours Assembly Fabrication $ 300,000 $ 400,000 25,000 15,000 10,000 50,000 Actual Data Manufacturing overhead costs Direct labor hours Machine hours Assembly Fabrication $ 330,000 $ 380,000 27,000 16,000 10,500 48,000 Job z Direct labor hours Machine hours Assembly 10 hours 1 hour Fabrication 2 hours 7 hours If the company uses a plantwide approach for applying overhead to production with machine-hours as the allocation base, the company's plantwide predetermined overhead rate is closest to