Mansfield, Incorporated, has two production departments, Assembly and Packaging The company uses a job-order costing sys

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Mansfield Incorporated Has Two Production Departments Assembly And Packaging The Company Uses A Job Order Costing Sys 1 (40.25 KiB) Viewed 21 times

Mansfield, Incorporated, has two production departments, Assembly and Packaging The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The predetermined overhead rate in the Assembly Department is based on machine hours (MHS) and it is based on direct labor-hours (DLHs) in the Packaging Department. At the beginning of the year, the company made the following estimates: Direct labor-hours Machine-hours: Total fixed manufacturing overhead cost Variable manufacturing overhead per DLH Variable manufacturing overhead per MH Assembly 5,200 68,400 O $595,200 O $651,600 O $809,000 O $1,246,700 $390,000 $ 3.00 Packaging 62,000 11,900 $ 419,000 $ 3.75 Knowledge Check 01 What is the estimated total manufacturing overhead in the Assembly Department?