Question

Swiss Cosmetic Company manufactures and distributes several different products. The company currently uses a plantwide allocation method for allocating overhead at a rate of 59 por derec manager of the Makeup Department that produces Products - Concealer and Glow Cream (GC Jennifer is the department manager of the Mar Care Department that manufactures Prot case of 24 bottles) and other information are as follows: h o o Lorenthede rs The producto Products Direct materials Direct labor Overhead $95.00 46.00 28.ee $169.88 $ 76.ee 35.00 23.00 $134.00 $49.00 13.00 15.00 $77.00 Machine hours Number of cases (per year) 300 500 600 Flawless changes its allocation basis to machine hours, what is the total product cost per case for Product 1 0 0 0 0

Answer 1

OPTION - 169.90

-c GC stal $28 23 IS 500 300 Overhead per case Number of cases Total orenhead cost $9,000 $11,500 $28,900 $8,400 600 300 500 2 Number of cases. machine hour per case vtal machine hours. 4000 u 1200 1800 1000 900 & $7.225 per overhead per machine hour 4,000 hrs cost overhead for - Product cost for a a material & Risect labor cost - $95 & 46 & (ex $7.225) => $167.90)

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