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The Silver Corporation uses a departmental predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labor cost in

The Silver Corporation uses a departmental predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labor cost in each of three Departments: Fabrication, Machining and Assembly. At the beginning of the year, the Corporation made the following estimates:

Manufacturing Overhead $350,000 Fabrication

$400,000 Machining

$90,000 Assembly

$840,000 Total

Labor Cost $200,000 Fabrication

$100,000 Machining

$300,000 Assembly

$600,000 Total

Calculate the plantwide predetermined overhead rate .

Calculate the fabrication predetermined overhead rate .

Calculate the machining predetermined overhead rate

Calculate the assembly predetermined overhead rate

Based on these rates, Calculate the total manufacturing cost attributed to job XYZ below. Total cost .

Direct Materials $3,000 Fabrication

$200 Machining

$1,400 Assembly

$4,600 Total

Direct Labor $2,800 Fabrication

$500 Machining

$6,200 Assembly

$9,500 Total

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