Question

Reliable Car Parts an d Core year 11 400 000 house .000 reports, has production and 51100000 P 1.000 - Calche Pain Them pr e n wie Pang Departments and endered Packaging Deat manufacturing our h DA131420. ROSY OB 1497.141828.57 O 0257.254. OD 14714

Answer 1

Predetermined overhead rate for assembling department

= Estimated overhead cost for assembling/estimated number of machine hours

= $ 17,400,000/35,000 = $ 497.14

Predetermined overhead rate for packaging department

= Estimated overhead cost for packaging /estimated number of labor hours

= $ 11,700,000/21,000 = $ 557.14

Hence option “D. $ 497.14; $ 557.14” is correct answer.