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Arabica Manufacturing uses a predetermined overhead

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Question

Arabica Manufacturing uses a predetermined overhead allocation rate based on a percentage of;direct labor cost. At the beginning of 2015, Arabica estimated total manufacturing overhead costs;at $1,050,000 and total direct labor costs at $840,000. In June, 2015, Arabica completed Job 511. The;details of Job 511 are shown below.;Direct materials cost $27,500;Direct labor cost $13,000;Direct labor hours 400 hours;Units of product produced 200;How much was the total job cost of Job 511?;A) $50,900 B) $40,500 C) $56,750 D) $74,875

 

Paper#81757 | Written in 18-Jul-2015

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