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34 of 60 Current Attempt in Progress < -12 Dorothy has been allocating Manufacturing Overhead (MOH) costs to her products using a single plant-wide rate
34 of 60 Current Attempt in Progress < -12 Dorothy has been allocating Manufacturing Overhead (MOH) costs to her products using a single plant-wide rate of $14.00 per Direct Labor (DL) hour. A recent job required 340 DL hours, 42 production runs, 25 quality inspections, and 20 factory supervisor hours. Based on the increased activity, the accountants are suggesting a transition to Activity-Based Costing (ABC) and have suggested the following rates: Materials Handling: $9.90 per direct labor hour Production Setup: $18.10 per production run Quality Inspections: $6.00 per inspection Factory Supervisor: $12.40 per supervisor hour Assuming that Dorothy makes the switch to ABC, what are the total MOH costs allocated to the most recent production run? $1158.20 $4524.20 $1375.20 $3366.00
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