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Question 28 (1 point) Babcock Industries uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments Assembly and Sanding.

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Question 28 (1 point) Babcock Industries uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments Assembly and Sanding. The Assembly Department uses a departmental overhead rate of $20 per machine hour, while the Sanding Department uses a departmental overhead rate of $15 per direct labour hour. Job 396 used the following direct labour hours and machine hours in the two departments Assembly Sanding Actual results Department Department Direct labour hours used 4 3 Machine hours used 9 5 The cost for direct labour is $25 per direct labour hour and the cost of the direct materials used by Job 396 is $1,200 What was the total cost of Job 396 if Babcock Industries used the departmental overhead rates to allocate manufacturing overhead? $1,375 $1,500 $1,600 $1,425

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