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mart [117]
3 years ago
8

The controller of Hartis Corporation estimates the amount of materials handling overhead cost that should be allocated to the co

mpany's two products using the data that are given below: Wall Mirrors Specialty Windows Total expected units produced 8,000 7,000 Total expected material moves 300 900 Expected direct labor-hours per unit 5 7The total materials handling cost for the year is expected to be $38,448. If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to the specialty windows is closest to:
a. $28,836
b. $22,428
c. $19,224
d. $18,752
Business
1 answer:
Mashcka [7]3 years ago
7 0

Answer:

a. $28,836

Explanation:

Total Material Moves (300 + 900)                      1200

Rate per material move (38488/1200)                      32.07333333

Allocated material moves for material handling  

wall mirrors (38488/1200*300)                              9622

Speciality windows (38488/1200*900)              28866

                                                                                    38488

Therefore, The material handling cost allocated to the speciality windows is closest to $28,836.

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