Problem: Sweet Co. uses budgeted overhead rates to apply overhead to individual jobs. They use a system based on direct labor hours. Last year, the company made the following estimates for this year.

Direct labor costs $42,000,000

Factory overhead costs $7,500,000

Direct Labor Hours 150,000

Machine Hours 100,000

(a) What is the budgeted overhead rate for the company?

(b) If Job #34567 had the following:

Material costs were $400,000;

Direct labor costs were $300,000;

Direct labor hours were 15,000; and

Machine hours were 20,000,

Then what is the total cost of Job #34567?