Ashe Corporation has two manufacturing departments--Machining and Customizing. The company used the following data at the beginning of the year to calculate predetermined overhead rates:   ​ Machining   Customizing Total Estimated total machine-hours (MHs)   1,000   4,000   5,000 Estimated total fixed manufacturing overhead cost $ 4,700 $ 9,200 $ 13,900 Estimated variable manufacturing overhead cost per MH $ 1.10 $ 2.60      During the most recent month, the company started and completed two jobs--Job B and Job K. There were no beginning inventories. Data concerning those two jobs follow:     Job B Job K Machining machine-hours   700   300 Customizing machine-hours   1,600   2,400  Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. The manufacturing overhead applied to Job K is closest to:     $13,716     $1,740     $13,500     $11,760

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Ashe Corporation has two manufacturing departments--Machining and Customizing. The company used the following data at the beginning of the year to calculate predetermined overhead rates:

 


Machining   Customizing Total
Estimated total machine-hours (MHs)   1,000   4,000   5,000
Estimated total fixed manufacturing overhead cost $ 4,700 $ 9,200 $ 13,900
Estimated variable manufacturing overhead cost per MH $ 1.10 $ 2.60    
 

During the most recent month, the company started and completed two jobs--Job B and Job K. There were no beginning inventories. Data concerning those two jobs follow:

 


  Job B Job K
Machining machine-hours   700   300
Customizing machine-hours   1,600   2,400
 

Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. The manufacturing overhead applied to Job K is closest to:
   
$13,716
   
$1,740
   
$13,500
   
$11,760
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