Question: How do you do this? Mahon Corporation has two production departments, Casting and Customizing. The company uses ajoborder costing system and computes a predetermined overhe

How do you do this?

How do you do this? Mahon Corporation has two
Mahon Corporation has two production departments, Casting and Customizing. The company uses ajoborder costing system and computes a predetermined overhe rate in each production departmenL The Casting Department's predetermined overhead rate is based on machinehours and the Customizing Department's predeterr overhead rate is based on direct laborhours. At the beginning of the current year, the company had made the following estimates: Casting customizing Machinehours 18,000 16,000 Direct laborhours 6,800 8,000 Total fixed manufacturing overhead cost 3 99,000 3 88,000 Variable manufacturing overhead per machinehour S 2.70 Variable manufacturing overhead per direct laborhour S 5.40 During the current month the company started and nished Job T138. The following data were recorded for this job: Job T138: Casting Customizing Machinehours 90 60 Direct laborhours 13 70 The amount of overhead applied in the Customizing Department to Job T138 is closest to: (Round your intermediate calculations to 2 decimal places.)

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