Answer:
Total allocated overhead= $450
Explanation:
Giving the following information:
The Assembly Department uses a departmental overhead rate of $35 per machine hour.
The Sanding Department uses a departmental overhead rate of $20 per direct labor hour.
Job 603:
Actual results Assembly Department Sanding Department
Direct labor hours used 8 5
Machine hours used 10 7
To allocate overhead to Job 603, we need to use the following formula:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Assembly= 35*10= $350
Sanding= 20*5= $100
Total allocated overhead= $450