Cabinets Unlimited uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments: Assembly and Sanding. The Assembly Department uses a departmental overhead rate of $55 per machine hour, while the Sanding Department uses a departmental overhead rate of $20 per direct labor hour. Job 542 used the following direct labor hours and machine hours in the two departments. Actual results Direct labor hours used Machine hours used Assembly Department OA. $2,600 OB. $2,640 O C. $1.955 O D. $1,920 9 12 Sanding Department 5 The cost for direct labor is $35 per direct labor hour and the cost of the direct materials used by Job 542 is $1,500. What was the total cost of Job 542 if Lucas Industries used the departmental overhead rates to allocate manufacturing overhead?

Principles of Cost Accounting
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Publisher:Edward J. Vanderbeck, Maria R. Mitchell
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Cabinets Unlimited uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments: Assembly and Sanding. The Assembly Department uses a departmental
overhead rate of $55 per machine hour, while the Sanding Department uses a departmental overhead rate of $20 per direct labor hour. Job 542 used the following direct labor hours and machine hours in the two
departments:
Actual results
Direct labor hours used
Machine hours used
Assembly
Department
OA. $2,600
OB. $2,640
O C. $1,955
OD. $1,920
9
12
Sanding
Department
5
The cost for direct labor is $35 per direct labor hour and the cost of the direct materials used by Job 542 is $1,500.
What was the total cost of Job 542 if Lucas Industries used the departmental overhead rates to allocate manufacturing overhead?
Transcribed Image Text:Cabinets Unlimited uses departmental overhead rates to allocate its manufacturing overhead to jobs. The company has two departments: Assembly and Sanding. The Assembly Department uses a departmental overhead rate of $55 per machine hour, while the Sanding Department uses a departmental overhead rate of $20 per direct labor hour. Job 542 used the following direct labor hours and machine hours in the two departments: Actual results Direct labor hours used Machine hours used Assembly Department OA. $2,600 OB. $2,640 O C. $1,955 OD. $1,920 9 12 Sanding Department 5 The cost for direct labor is $35 per direct labor hour and the cost of the direct materials used by Job 542 is $1,500. What was the total cost of Job 542 if Lucas Industries used the departmental overhead rates to allocate manufacturing overhead?
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