Question

Management of Lewallen Corporation has asked your help as an intern in preparing some key reports for September. Direct materials cost was $57,000, direct labor cost was $43,000, and manufacturing overhead was $71,000. Selling expense was $15,000 and administrative expense was $32,000. The prime cost for September was: $114,000 $47,000 $103,000 $100,000

Answer 1

Answer:

The prime cost for september is $100,000.

Explanation:

prime cost = Direct material cost + Direct labour cost

                  = $57,000 + $43,000

                  = $100,000.

Therefore, the prime cost for september is $100,000.