The master mason company uses a job costing system. For year 4, the firm estimated total overhead to be $40,000 and the number of direct labor hours to be $10,000.
a. Calculate the predetermined overhead rate.
b. Job 247 is a special order of 100 special bricks. The work-in-progress inventory for this job shows raw materials cost of $4,600 and the direct labor costs of $7,600. The firm has charged 1,200 direct labor hours to the job. What is the total cost of Job 247?