The Maclin Company uses a job-costing system at its Dover, Delaware, plant. The plant has a machining department and a finishing department. Maclin uses normal costing with twodirect-cost categories (direct materials and direct manufacturinglabor) and two manufacturing overhead cost pools (the machining department withmachine-hours as the allocation base and the finishing department with direct manufacturing labor costs as the allocation base). The 2017 budget for the plant is asfollows:

Machining Department

Finishing Department

Manufacturing overhead costs

$9,180,000

$8,181,000

Direct manufacturing labor costs

$920,000

$4,050,000

Direct manufacturing labor-hours

34,000

150,000

Machine-hours

180,000

37,000

1. Identify the components of the overview diagram of Maclin's job-costing system.

2. What is the budgeted manufacturing overhead rate in the machining department? In the finishingdepartment?

3. During the month of January, the job-cost record for Job 431 shows the following:

Machining Department

Finishing Department

Direct materials used

$14,500

$4,500

Direct manufacturing labor costs

$700

$1,400

Direct manufacturing labor-hours

30

70

Machine-hours

130

15

Compute the total manufacturing overhead cost allocated to Job 431.

4. Assuming that Job 431 consisted of 100 units of product, what is the cost per unit?

5. Amounts at the end of 2017 are asfollows:

Machining Department

Finishing Department

Manufacturing overhead incurred

$10,350,000

$8,432,000

Direct manufacturing labor costs

$1,000,000

$4,100,000

Machine-hours

200,000

33,000

Compute the under- or overallocated manufacturing overhead for each department and for the Dover plant as a whole.

6. Why might Maclin use two different manufacturing overhead cost pools in its job-costing system?