Problem 1. The Third Pigg Brick Company manufactures custom bricks used in upscale homes. No two customers have the same type of bricks. The bricks go through three processes: mixing; shaping; and firing. The company uses a job-order cost system and computes a predetermined overhead rate in each department. The mixing department bases its rate on direct materials, the shaping department bases its rate on machine hours and the firing department bases its rate on direct labor hours. At the beginning of the year the company made the following estimates Department Mixing Shaping Firing Direct labor hours 160,000 90,000 120,000 Machine hours 60,000 140,000 42,000 Direct materials cost $600,000 $ 80,000 $ 30,000 Manufacturing overhead cost $300,000 $280,000 $150,000 Compute the predetermined overhead rate to be used in each department during the upcoming year. Mixing_ Shaping_ Firing 2. Suppose the overhead rates you computed in (1) above are in effect. Compute the total overhead cost to be assigned to Ms. Snout's order - Job 332 assuming the following data: Department Mixing Shaping Firing Direct labor hours 300 80 92 Machine hours 80 120 120 Direct materials cost $6,000 $120 $ 300 Continued on next page Problem 2. Ellie Richard's Commercial Flooring installs stone, tile, and carpet flooring in office buildings, con- dominiums, and restaurants. The company traces labor and materials to each job, but overhead is assigned based on labor hours. At the start of the year, the company estimated overhead as follows: Rent $ 35,000 Depreciation of trucks 25,000 Depreciation of equipment 5,000 Supervisor salaries 150,000 Other overhead 20,000 $235,000 Total labor hours were estimated to be 11,520. During the first week in December, the company started and completed a job installing black granite tiles in the remodeled lounge of Joey D's Restaurant. In total, the job took 36 hours. The average wage rate of installers is $35 per hour. Materials for the job including tiles and grouting cost $7,500. REQUIRED Calculate the cost of the job