Fickel Company has two manufacturing departments-Assembly and Testing & Packaging. The predetermined overhead rates in Assembly and Testing & Packaging are $13.00 per direct labor-hour and $9.00 per direct labor-hour, respectively. The company's direct labor wage rate is $16.00 per hour. The following information pertains to Job N-60: Assembly Testing & PackagingDirect materials $340 $25Direct labor $180 $40What is the total manufacturing cost assigned to Job N-60?

Total cost = $753.75

Explanation:

Giving the following information:

The predetermined overhead rates:

Assembly = $13 per direct labor-hour

Testing & Packaging = $9.00 per direct labor-hour.

The company's direct labor wage rate is $16.00 per hour.

Job N-60:

Assembly;

DM = 340

DL=180

Testing & Packaging:

DM = 25

DL = 40

To calculate the overhead applied to each department, first, we need to calculate the direct labor hours:

Assembly = 180/16 = 11.25 hours

Testing = 40/16 = 2.5 hours

Now, we can allocate overhead:

Assembly = 11.25 hours*13 = $146.25

Testing = 2.5 hours*9 = $22.5

Total cost = DM + DL + Allocated overhead

Total cost = (340 + 25) + (180 + 40) + (146.25 + 22.5) = $753.75