Answer:
the Direct Labor Costs are $5500
And Direct Materials are 2,250
Explanation:
Finished Goods has a total cost of $11,600
If the overhead applied to these goods is $3,850
Then the Direct Labor Costs are $5500
And Direct Materials are 2,250
Using the cross product rule
$3850 : 70
x : 100
x= $3850*100/70= $ 5500 are Direct LAbor Costs
Direct Materials= Finished Goods - overhead applied -Direct Labor Costs
Direct Materials =$11,600- $3,850- $5500
And Direct Materials are = $2,250
