A custom furniture manufacturer has two departments: preparation and finishing, and uses separate predetermined manufacturing overhead...
A custom furniture manufacturer has two departments: preparation and finishing, and uses separate predetermined manufacturing overhead rates for each department. The preparation department allocates $2.00 in manufacturing overhead per machine hour, while the finishing department allocates $0.50 in manufacturing overhead per direct labor dollar. The direct labor wage rate is $10 per hour. The following data is available for Job 432:
| Preparation | Finishing | |
| Direct materials | $2,500 | $1,750 |
| Machine hours | 20 | 0 |
| Direct labor hours | 5 | 20 |
What is the total manufacturing cost for Job 432?
Homework Answers
Solution:
What is the total manufacturing cost for Job 432 - $4640
Workings:
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