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Help Save & Exit Submit White Company has two departments, Cutting and Finishing. The company uses a job-order costing system

Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to

Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to

Required 1 Required 2 Required 3 Would you expect substantially different amounts of overhead cost to be assigned to some job

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Answer #1

1) Predetermine overhead rate

Cutting Finishing
Overhead rate (380000/56500+2) = 8.73 per Mh (557000/75000+4.75) = 12.18 per DLH

2) Total manufacturing cost

Direct material (780+370) 1150
Direct labor (132+418) 550
Cutting overhead (87*8.73) 759.51
Finishing overhead (19*12.18) 231.42
Total manufacturing cost 2690.93 or 2691

3) Yes

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