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ivolga24 [154]
2 years ago
15

Fort Smith Technologies incurred the following costs during the past year when planned production and actual production each tot

aled 20,000 units: Direct material used $ 280,000 Direct labor 120,000 Variable manufacturing overhead 160,000 Fixed manufacturing overhead 100,000 Variable selling and administrative cost 60,000 Fixed selling and administrative cost 90,000 If Fort Smith uses absorption costing, the total inventoriable costs for the year would be: Multiple Choice $660,000. $560,000. $460,000. $620,000. $400,000.
Business
1 answer:
Scilla [17]2 years ago
8 0

Answer:

$560,000

Explanation:

Calculation for the total inventoriable costs for the year would be

Using this formula

Variable costing = Direct materials + Direct labor + Variable Manufacturing Overhead

Let plug in the formula

Variable costing= $280,000 + $120,000 + $160,000

Variable costing= $560,000

Therefore the total inventoriable costs for the year would be $560,000

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