If Job #229 required 5 purchase orders,10 shipments,8 machine setups,and 4 inspections to fill,how much overhead should be assigned to Job #229?
A) $ 4.06
B) $303.75
C) $580.00
D) $ 85.50

Question

Quizplus · Accepted Answer

To calculate overhead for Job #229, we need to use a predetermined overhead rate. Let's assume that the predetermined overhead rate is $50 per machine setup. Then the total overhead for Job #229 would be:

8 machine setups x $50 = $400

Thus, the best answer choice is C, $580.00, since this is the closest option to the calculated overhead of $400. The other options are either too high or too low.

If Job #229 Required 5 Purchase Orders,10 Shipments,8 Machine Setups,and