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Troyanec [42]
3 years ago
8

Merone Company allocates materials handling cost to the company's two products using the below data: Modular Homes Prefab Barns

Total expected units produced 5,100 8,100 Total expected material moves 510 110 Expected direct labor-hours per unit 710 210 The total materials handling cost for the year is expected to be $266,100. If the materials handling cost is allocated on the basis of direct labor-hours, the total materials handling cost allocated to the prefab barns is closest to _________.
Business
1 answer:
Solnce55 [7]3 years ago
7 0

Answer:

$85,050

Explanation:

The material handling cost of Merone Company is allocated on the basis of direct labor hours.

Expected Total direct labor-hours (710 labor hour per unit * 5,100 units produced + 210 labor hour per unit * 8,100 units produced

= 3,621,000 + 1,701,000

Total Expected direct labor hours = 5,322,000

Material handling cost per labor hour: $266,100 / 5322000 labor hours

= $0.05 per labor hour

$0.05 per labor hour * 1,701,000 labor hours of Prefab Brans

= $85,050

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8 0
2 years ago
Braun Company has one service department and two operating (production) departments. Maintenance Department costs are allocated
11111nata11111 [884]

Answer:

$154,900

Explanation:

The computation of the total cost of operating the assembly department as follows:

= Direct expenses of assembly department + allocated amount

= $123,400 + $52,500 × 69,000 ÷ (69,000 + 46,000)

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= $123,400 + $31,500

= $154,900

8 0
3 years ago
Select the correct answer.
Lapatulllka [165]

Answer:

B. equity financing

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3 years ago
Deep Water Mining added $411 to retained earnings last year on sales of $24,646. The administrative expenses were $4,370, deprec
ki77a [65]

Answer:

$18,290

Explanation:

The computation of the cost of goods sold is given below;

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Depreciation = $812

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