Beckner Inc. is a job-order manufacturer. The company uses a predetermined overhead rate based on direct labor hours to apply overhead to individual jobs. For the current year, estimated direct labor hours are 133,000 and estimated factory overhead is $784,700. The following information is for September. Job X was completed during September, while Job Y was started but not finished.

\begin{array}{lr}\text { September 1, inventories: }\\\text { Materials }&\$24,000\\\text { Work-in-process (All Job X) } & 53,400 \\\text { Finished goods } & 105,600\\\text { Materials purchases }&\$157,000\\\text { Direct materials requisitioned: }\\\text { Job X } & \$5 74,000 \\\text { Job Y } &68,000 \\\text { Direct labor hours: } & \\\text { Job X } & 7,000 \\\text { Job Y } & 5,500\\\text { Labor costs incurred: }\\\text { Direct labor ( } \$ 6.00 \text { per hour) }&\$75,000\\\text { Indirect labor } & 24,200 \\\text { Factory supervisory salaries } & 11,100 \\\text { Rental costs: } &\\\text { Factory }&\$9,300\\\text { Administrative offices }&3,200\\\text { Total equipment depreciation costs: }\\\text { Factory } & \$ 10,400 \\\text { Administrative offices } & 2,800 \\\text { Indirect materials used } & \$ 17,800\end{array}

The total factory overhead applied during September is:
A)$79,300.
B)$57,572.
C)$73,750.
D)$68,120.
E)$51,710.

The Three Major Differences Between Process and Job Order Costing

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