Question: Requlred Information Exercise 3 - 1 7 ( Algo ) Plantwide and Departmental Predetermined Overhead Rates; Job Costs [ LO 3 - 1 , LO

Requlred Information
Exercise 3-17(Algo) Plantwide and Departmental Predetermined Overhead Rates; Job Costs [LO3-1, LO32,[03-3,[O3-4]
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Delph Company uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that 60,000 machine-hours would be required for the period's estimated level of production. It also estimated $1,020,000 of fixed manufacturing overhead cost for the coming period and variable manufacturing overhead of $4.00 per machine-hour.
Because Delph has two manufacturing departments-Molding and Fabrication-it is considering replacing its plantwide overhead rate with departmental rates that would also be based on machine-hours. The company gathered the following information to enable calculating departmental overhead rates:
\table[[hine-hours,Malding,Fabrication,Total],[\table[[Fixed manufacturing overhead cost],[Variable manufacturing overhead cost per machine-hour]],\table[[25,1999],[$760,1099
 Requlred Information Exercise 3-17(Algo) Plantwide and Departmental Predetermined Overhead Rates; Job

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