Answer: 1.50
Explanation:
Baeed on the information given in the question, the enterprise value multiple would be calculated as:
= [(4,250 × 16.65) + 64,800 - 5,200] / (213,000 - 126,200)
= 130,362.5 / 86,800
= 1.50 times
Answer:
Total cost= $1,375
Explanation:
Giving the following information:
The budgeted factory overhead last year was $200,000, and there were 40,000 machine hours budgeted.
Job 84:
Direct materials= $900
direct labor hours= 25
Direct labor cost= $350.
First, we need to calculate the manufacturing overhead rate based on direct labor hours:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 200,000/40,000= $5 per direct labor hour
Now, we can calculate the total cost:
Total cost= direct material + direct labor + allocated overhead
Total cost= 900 + 350 + 5*25= $1,375
