Saved Babcock Industries uses departmental overhead rates to allocate its manufacturing overhead to jobs The...
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Saved Babcock Industries uses departmental overhead rates to allocate its manufacturing overhead to jobs The company has two departments. Assembly and Sanding The Assembly Department uses a departmental overhead rate of $20 per machine hour, while the Sanding Department uses a departmental overhead rate of $15 per direct labour hour Job 396 used the following direct labour hours and machine hours in the two departments Assembly Sanding Actual results Department Department Direct labour hours used 4 Machine hours used 9 3 5 The cost for direct labour is $25 per direct labour hour and the cost of the direct merials used by Job 396 is $1,200 What was the total cost of Job 396 it Babcock Industries used the departmental overhead rates to allocate manufacturing overhead? $1,375
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