Sorrentino Industries manufactures a variety of custom products. The company has traditionally used a plantwide manufacturing overhead rate based on machine hours to allocate manufacturing overhead to its products. The company estimates that it will incur $1,650,000 in total manufacturing overhead costs in the upcoming year and will use 15,000 machine hours. Click the icon to view the additional information about the hazardous waste disposal fees.) Expected usage and costs for manufacturing overhead activities for the upcoming year are as follows: (Click the icon to view the expected usage and costs.) During the year, Job 356 is started and completed. Usage for this job follows: (Click the icon to view the usage for Job 356.) Read the requirements. C Requirement 1. Calculate the cost of Job 356 using the traditional plantwide manufacturing overhead rate based on machine hours. Begin by calculating the plantwide overhead rate. First identify the formula used to compute the plantwide overhead rate, then compute the rate. (Abbreviations used: MOH = manufacturing overhead; mfg. = manufacturing) = Plantwide mfg. overhead rate Requirements 1. Data table Calculate the cost of Job 356 using the traditional plantwide manufacturing overhead rate based on machine hours. 2. 3. Description of Cost Pool Estimated Cost Machine maintenance costs Engineering change orders $ Cost Driver 450,000 Number of machine hours 450,000 Number of change orders Estimated Activity for this Year Calculate the cost of Job 356 using activity-based costing. If you were a manager, which cost estimate would provide you more useful information? How might you use this information? 15,000 5,000 Print Done $ Hazardous waste disposal. $ 750,000 Pounds of hazardous materials generated 1,650,000 2,500 Total overhead cost. Print Done Data table 300 pounds of direct materials at $50 per pound 40 direct labor hours used at $35 per labor hour 60 machine hours used 13 change orders 70 pounds of hazardous waste generated Print Done