14118 10:31 F Time Remaining: 01:14:53 Submit Te This Test: 100 pts possic uSt E

Question

14118 10:31 F Time Remaining: 01:14:53 Submit Te This Test: 100 pts possic uSt Exam 2 - ACC 2311 This Question: 2 pts 4 22 of 27 (18 complete) to the various jobs contracted during the year. The following estimates are band jacket job is a small textile manufacturer using machine-hours as the single indirect-cost rate to allocate manufacturing overhead cot provided for the coming year for the company and for the Case High Schol Comeany $67,000 32,000 55,000 100,000 mh Case High School Jeb $2.400 $800 Direct materials Direct labor Manufacturing overhead costs Machine-hours 800 mh What amount of manufacturing overhead costs will bo allocated to this job? O A $696 OB, $440 O c. $280 O D. $1.232 to select your

Explanation / Answer

Manufacturing overhead rate = Total manufacturing overhead/Total number of machine hours

                                         = $ 55,000/100,000 mh = $ 0.55 per mh

Manufacturing overhead cost for case highs school job

= Manufacturing overhead rate x No. of machine hours

= $ 0.55 x 800 mh = $ 440

Hence option “B. $ 440” is correct answer.

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