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5. (10 points) Mahon Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate

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5. (10 points) Mahon Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor- hours. At the beginning of the current year, the company had made the following estimates: Casting Customizing Machine-hours 15,400 12,400 Direct labor-hours 5,000 6,200 Total fixed manufacturing overhead cost $93,940 $58,900 Variable manufacturing overhead per machine-hour $ 3.00 Variable manufacturing overhead por direct labor-hour $5.90 During the current month the company started and finished Job T138. The following data were recorded for this job: Job T138: Machine-hours Direct labor-hours Direct Materials Direct Labor Casting 90 12 $4,215 $300 Customizing 40 70 $855 $200 Calculate the total manufacturing cost of Job T138. Job T138: Casting Customizing Total Direct Materials Direct Labor Applied MOH Total

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