Calculate the departmental overhead rates


Ryans operations are divided into metal casting and metal finishing. The casting department uses a departmental overhead rate of $52 per machine hour. While the Finishing Deptartment uses a departmental overhead rate of $28 dollars oer direct labor hour. Job a216 uses the following

Casting Dept Direct labor 5

Casting Dept Machine hour 4

Finshing Direct labor 12

Machine hour 3

The cost of labor is $32 per direct labor hour and the direct materials cost is $1800

What was the total cost of job A216 if they use the departmental overhead rates to allocate manufacturing overhead?

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Accounting Basics: Calculate the departmental overhead rates
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