Deloria Corporation Has Two Production Departments, Forming and Assembly

question 366

Multiple Choice

Deloria Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T288. The following data were recorded for this job:
The total amount of overhead applied in both departments to Job T288 is closest to: (Round your intermediate calculations to 2 decimal places.)

• A) $508
• B) $672
• C) $1,688
• D) $1,180

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Definitions:

Predictive Score

A statistical measure or model used to estimate the likelihood of a particular outcome based on current or past data.

Actus Reus

The physical act of committing a crime, as opposed to the mental state or intent behind the act, which is known as mens rea.

Premeditation

The act of planning or thinking about an action, especially a harmful one, beforehand.

Mental Disorders

Health conditions characterized by alterations in thinking, mood, or behavior associated with distress or impaired functioning.