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Requirements 1. How much manufacturing overhead should be allocated to Job 405? 2. Assume that direct labor is paid at a rate of $26
Requirements 1. How much manufacturing overhead should be allocated to Job 405? 2. Assume that direct labor is paid at a rate of $26 per hour and Job 405 used $2,550 of direct materials. What was the total manufacturing cost of Job 405? Data table Cutting Department: $12 per machine hour Finishing Department: $14 per direct labor hour Data table Cutting Finishing JOB 405 Direct Labor Hours Machine Hours Department Department 11 7 5 - Allegheny Furniture uses departmental overhead rates (rather than a plantwide overhead rate) to allocate its manufacturing overhead to jobs. The company's two production departments have the following departmental overhead rates: (Click the icon to view the overhead rates.) Job 405 used the following direct labor hours and machine hours in the two manufacturing departments: (Click the icon to view the resources used for Job 405.) Read the requirements. 1. How much manufacturing overhead should be allocated to Job 405? Calculate the total manufacturing overhead for the job by using a formula for each department's overhead amount and then adding both amounts together. First determine the formula and overhead for the Cutting Department. = Cutting Department overhead
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