Homework Answers
Correct answer------------$79,600
Working
| Units x cost per unit | Amount | |
| Direct material | (8000 x 6.3) | $ 50,400.00 |
| Direct labor | (8000 x 3.65) | $ 29,200.00 |
| Total direct cost | $ 79,600.00 |
Only direct material and direct labor are considered as direct manufacturing cost. All other factory cost are manufacturing overheads or indirect cost.
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