Answer:
Total expenditure= $3,870
Explanation:
Based on the provided data:
predetermined overhead rate= $5.50
For Job A477:
Total direct labor hours: 100
Direct materials cost: $520
Direct labor expenses: $2,800
Now we calculate the overhead allocation:
Allocated manufacturing overhead= Estimated overhead rate * Actual base amount
Allocated manufacturing overhead= 5.50*100= $550
Then, we can compute the total job cost:
Total expense= 520 + 2,800 + 550= $3,870
