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Question 30 Garner Corporation uses departmental overhead rates to apply manufacturing overhead costs to products. Overhead is applied based on machine hour's in the Machining
Question 30 Garner Corporation uses departmental overhead rates to apply manufacturing overhead costs to products. Overhead is applied based on machine hour's in the Machining Department and based on direct labor hours in the Assembly Department. At the beginning of the year, the following estimates were provided for the coming year: Machining Assembly Direct labor 10,000 90,000 hours Machine hours 100,000 5,000 Direct labor $80,000 $720,000 cost Manufacturing overhead $250,000 $360.000 COSTS The accounting records show the following data for Job 725, which was recentiy completed Machining Assembly Direct labor 50 120 hours Machine hours 170 10 Direct materials $2,700 $1,600 1 cost Direct labor $400 $1 900 What is the total job cost for Job 725? $905 O $1.300 $5,600 1 O $6,505 None of the above
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