Chapter 2 Homework #2 0 Help Saved 2 Exercise 2.13 Departmental Predetermined Overhead Rates [LO2-1, L02-2, LO24) 2.8 White Company has two departments, Cutting and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each department. The Cutting Department bases its rate on machine-hours, and the Finishing Department bases its rate on direct labor-hours. At the beginning of the year, the company made the following estimates: points Skipped Cutting Finish 6, 400 51,300 390,000438, 000 $ 4.00 Direet Labor-houra Machine-hourS Total ixed manufacturing overhead coat Variable nanufacturing overhead per nachine-hour Variable nanufacturing overhead per direct labor-hour 61, 000 2,000 eBook $2-75 Ask 1 Compute the predetermined overhead rate for each department. 2. The job cost sheet for Job 203, which was started and completed during the year, showed the following: Departnent Cutting Pinishing References Direct Labor-houra Machine-hourB Direct naterials Direet labor cost 84 $750 $138 $360 $414 Using the predetermined overhead rates that you computed in requirement 203. , compute the total manufacturing cost assigned to Job 3. Would you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide predetermined overhead rate based on direct labor-hours, rather than using departmental rates? Complete the question by entering your answers in the tabs given below Required 1Required 2 Required 3 Compute the predetermined overhead rate for each department. (Round your answers to 2 decimal places.) Cutting ovorhead rato por MH per DLH Required 1 Required 2 Complete the question by entering your answers in the tabs given below. Required 1Required 2 Required 3 Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job 203. (Round intermediate calculations to 2 decimal places and final answer to the nearest dollar amount.) Total manufacturing cost Required 1 Required 3> Complete the question by entering your answers in the tabs given below. Required 1 Required 2 Required 3 Would you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide predetermined overhead rate based on direct labor-hours, rather than using departmental rates? Yes No KRequired 2 Required 3