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slavikrds [6]
3 years ago
5

Finished goods inventory is $197,000. If overhead applied to these goods is $72,000, and the overhead rate is 150% of direct lab

or, how much direct materials cost was incurred in producing the inventory
Mathematics
1 answer:
prohojiy [21]3 years ago
6 0

Answer:

77,000

Step-by-step explanation:

If 72,000 is 150% of direct labor, then direct labor is 48,000 (72000/1.5)

direct labor 48000

overhead.    72000

total.           120,000

total costs:           197,000

less total above:  120,000

=material costs.     77,000

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