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Bolander Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data: Recently, Job M825 was completed with the following characteristics:
The total job cost for Job M825 is closest to: (Round your intermediate calculations to 2 decimal places.)
Overhead Controllable Variance
The difference between the actual overhead incurred and the overhead that should have been incurred, based on controllable factors.
Budgeted Overhead
The estimated cost of all indirect production expenses for a specific period as part of the budgeting process.
Standard Hours Allowed
The amount of time that should be spent to produce a certain amount of goods or services, according to predetermined standards.
Overhead Volume Variance
A measure used in cost accounting to determine the difference between the allocated overhead costs and the actual overhead costs incurred.
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