In March, the two production departments had budgeted allocation bases of 4,000 machine-hours in Department 100 and 8,000 direct manufacturing labor-hours in Department 200.

The budgeted manufacturing overheads for the month were $57,500 and $62,500, respectively. For Job A, the actual costs incurred in the two departments were as follows:

Job A incurred 800 machine-hours in Department 100 and 300 manufacturing labor-hours in Department 200. The company uses a budgeted overhead rate for applying overhead to production.

Required:
a. Determine the budgeted manufacturing overhead rate for each department.
b. Prepare the necessary journal entries to summarize the March transactions for Department 100.
c. What is the total cost of Job A?

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Department Department 100 200 $110,000 $177,500 Direct materials purchased on account 13,500 Direct 32,500 materials used Direct 52,500 53,500 manufacturing labor Indirect 11,000 9,000 manufacturing labor Indirect 7,500 4,750 materials used 3,750 Lease on 16,250 equipment Utilities 1,000 1,250