Harper Manufacturing uses a job costing system and applies overhead based on machine hours. Harper has calculated an overhead rate of $42.50 per machine hour and has recorded the following information for job number J842: Direct material: $3,850.00 Direct labor hours: 45 Direct labor rate: $28.75 Total machine hours: 78 What is the total cost of job number J842? A. $6,593.75 B. $7,065.00 C. $8,458.75 D. $11,168.75

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter2: Job Order Costing
Section: Chapter Questions
Problem 10E: Exotic Engine Shop uses a job order cost system to determine the cost of performing engine repair...
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Harper Manufacturing uses a job costing system and applies overhead based on machine hours.
Harper has calculated an overhead rate of $42.50 per machine hour and has recorded the following
information for job number J842: Direct material: $3,850.00 Direct labor hours: 45 Direct labor rate:
$28.75 Total machine hours: 78 What is the total cost of job number J842?
A. $6,593.75
B. $7,065.00
C. $8,458.75
D. $11,168.75
Transcribed Image Text:Harper Manufacturing uses a job costing system and applies overhead based on machine hours. Harper has calculated an overhead rate of $42.50 per machine hour and has recorded the following information for job number J842: Direct material: $3,850.00 Direct labor hours: 45 Direct labor rate: $28.75 Total machine hours: 78 What is the total cost of job number J842? A. $6,593.75 B. $7,065.00 C. $8,458.75 D. $11,168.75
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