________ are combating competitive pressures by providing better value with private-label merchandise; adding new value-added se
1 answer:
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Answer:
correct option is a. $36,000
Explanation:
given data
labor cost = $360,000
move material per year = 600,000 pounds
to find out
material handling cost
solution
we find here first Labor Cost per pound of material that is express as
Labor Cost per pound of material = Labor Cost ÷ Number of Pounds of material .......................1
Labor Cost per pound of material =
Labor Cost per pound of material = $ .6 per pound of material
=360000/600000= $0.6 per pound of material
so we can say that 60000 pounds are moved in March so cost will be
60000 pounds are move cost = 60000 × $0.6
60000 pounds are move cost = $36000
so correct option is a. $36,000