# Use departmental overhead rates to allocate manufacturing overhead (Learning Objective 1) Pika food.

Use departmental overhead rates to allocate manufacturing overhead (Learning Objective 1) Pika food manufacturers use a departmental overhead rate to allocate manufacturing overhead to jobs instead of using a plantwide overhead rate system. The companys two production departments have the following departmental overhead rates: During the last month, Job P101 used \$9,500 of direct materials and the following direct labor and machine hours in the two manufacturing departments: &
Use departmental overhead rates to allocate manufacturing overhead (Learning Objective 1) Pika food manufacturers use a departmental overhead rate to allocate manufacturing overhead to jobs instead of using a plantwide overhead rate system. The companys two production departments have the following departmental overhead rates: During the last month, Job P101 used \$9,500 of direct materials and the following direct labor and machine hours in the two manufacturing departments: 1. How much manufacturing overhead cost should be allocated to Job P101? 2. What is the total manufacturing cost of this job? Determine the total manufacturing cost of the job by assuming that the direct labor is paid at the rate of \$16 per hour.

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