Teagan Company uses Departmental Overhead allocation to allocate its manufacturing overhead costs. It has identified two depart

Question

3 years ago

5

Teagan Company uses Departmental Overhead allocation to allocate its manufacturing overhead costs. It has identified two depart

ments: Machining & Assembly. The Machining department allocates overhead using machine hours, and the Assembly department allocates overhead using direct labor hours. It has accumulated the following data for 2018: Machining Department estimated manufacturing overhead: $670,000 Assembly Department esimated manufacturing overhead: $450,000 Total estimated overhead costs $1,120,000 Estimated machine hours in the machining department: 10,000 hours Estimated direct labor hours in the assembly department: 15,000 hours The following shows the amount of machine hours and direct labor hours incurred by Job #601 within each department: Machining Department: 9 Machine Hours 4 DL hours Assembly Department: 15 DL hours What is the amount of total allocated overhead for Job?

Business