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The expected costs for the Maintenance Department of Stazler, Inc., for the coming year include: Fixed costs (salaries, tools): $71,690 per year Variable costs (supplies):

The expected costs for the Maintenance Department of Stazler, Inc., for the coming year include: Fixed costs (salaries, tools): $71,690 per year Variable costs (supplies): $1.45 per maintenance hour Estimated usage by: Assembly Department 4,500 Fabricating Department 6,400 Packaging Department 10,500 Total maintenance hours 21,400 Actual usage by: Assembly Department 3,250 Fabricating Department 6,500 Packaging Department 9,700 Total maintenance hours 19,450 Required:

1. Calculate a single charging rate for the Maintenance Department. Round your answer to the nearest cent. $_________ per maintenance hour

2. Use this rate to assign the costs of the Maintenance Department to the user departments based on actual usage. Calculate the total amount charged for maintenance for the year. $ __________

3. What if the Assembly Department used 3,300 maintenance hours in the year? How much would have been charged out to the three departments?

Assembly Department charge _______________ $
Fabricating Department charge_______________
Packaging Department charge _______________
Total amount charged_____________________ $

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