The following information is available on departmental overhead recovery rates for Major Manufacturing: Machining Department $ \quad \$ 47.50 $ per machine hour
Assembling Department $ \quad\$ 16.90 $ per direct labour How much overhead will be applied to job X 123 if it uses 13 machine hours and 20 direct labour hours?
A)$955.50.
B)$33.
C)$64.40.
D)$1169.70.

Question

The following information is available on departmental overhead recovery rates for Major Manufacturing: Machining Department $ \quad \$ 47.50 $ per machine hour 
Assembling Department $ \quad\$ 16.90 $ per direct labour How much overhead will be applied to job X 123 if it uses 13 machine hours and 20 direct labour hours?
A)$955.50.
B)$33.
C)$64.40.
D)$1169.70.

Quizplus · Accepted Answer

The overhead for the Machining Department is calculated as 13 machine hours * $47.50 = $617.50. The overhead for the Assembling Department is 20 direct labour hours * $16.90 = $338. Total overhead applied to job X 123 is $617.50 + $338 = $955.50.

The Following Information Is Available on Departmental Overhead Recovery Rates $47.50 \quad \$ 47.50 $47.50

The Following Information Is Available on Departmental Overhead Recovery Rates $\quad \$ 47.50$