Final answer:
The amount of overhead applied to Job A319 in the Milling Department is $474.00, which is calculated by using the predetermined overhead rate of $7.90 per machine-hour applied to 60 machine-hours.
Step-by-step explanation:
To calculate the amount of overhead applied in the Milling Department to Job A319, we need to first determine the predetermined overhead rate for the department. This is done using the given estimates at the beginning of the year.
The Milling Department's predetermined overhead rate is computed as follows:
Total estimated fixed manufacturing overhead + (Variable manufacturing overhead per machine-hour × Total estimated machine-hours)
$113,400 + ($1.60 × 18,000 machine-hours) = $113,400 + $28,800 = $142,200
Now we divide the total estimated overhead by the total estimated machine-hours to get the overhead rate per machine-hour:
$142,200 / 18,000 machine-hours = $7.90 per machine-hour
Next, we use the overhead rate to calculate the overhead applied to Job A319:
$7.90 per machine-hour × 60 machine-hours used for Job A319 = $474.00
Therefore, the correct answer is B. $474.00.