Final answer:
Without the specific overhead rates and Job ABC's cost drivers, the overhead for Job ABC cannot be calculated. However, overhead is generally allocated based on the quantity of cost drivers used in production, multiplied by the predetermined rates.
Step-by-step explanation:
The student's question pertains to calculating the overhead applied to Job ABC using multiple predetermined overhead rates. Unfortunately, without specific information on the predetermined overhead rates and the cost drivers of Job ABC, it is not possible to calculate the exact amount of overhead applied. However, the concept behind this involves assigning the factory's indirect costs to the goods produced, based on activities that drive those costs such as machine hours, labor hours, or material costs.
In general, as output increases, the average fixed cost decreases because the fixed cost is spread over more units of output. The average fixed cost (AFC) curve would typically be represented by a downward-sloping hyperbola. Spreading the overhead means that as production volume increases, the fixed costs, like overhead, are allocated across more units, resulting in a lower cost per unit.
To apply this concept to a hypothetical Job ABC, overhead is assigned to jobs based upon the predetermined overhead rates which might be specific to different departments or activity areas. To find the overhead applied, you would need to calculate the amount of each cost driver consumed by Job ABC and multiply it by the respective predetermined overhead rate for each driver.