Alessandra Inc uses Coca Cola uses a departmental overhead rate to allocate its overhead to different jobs,
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Question:
Alessandra Inc uses Coca Cola uses a departmental overhead rate to allocate its overhead to different jobs, and has two departments: Cutting and Finishing. For each department, they calculate departmental OH rates as follows:
Estimated OH for cutting department is $10, 000 with 1,000 machine hours
Estimated OH for Finishing department is $36,000 with 2,000 direct labor hours
Calculate
Assume Job 101 uses the following: Machine hours: 9 in cutting, 2 in finishing Direct labor hours: 5 in cutting, 7 in finishing
What costs would be allocated to job 101?
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