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6 10 points Campbell Construction Company expects to build three new homes during a specific accounting period. The estimated direct materials and labor costs
6 10 points Campbell Construction Company expects to build three new homes during a specific accounting period. The estimated direct materials and labor costs are as follows. Expected Costs Direct labor Direct materials Home 1 $ 62,000 104,000 Hone 2 $ 102,000 138,000 Home 31 $ 177,000 192,000 Check Skipped Assume Campbell needs to allocate two major overhead costs ($68,200 of employee fringe benefits and $17,360 of indirect materials costs) among the three jobs. Required eBook Hint Choose an appropriate cost driver for each of the overhead costs and determine the total cost of each house. Note: Round "Allocation rate" to 2 decimal places. Fringe Benefits: Home 1 2 3 Total Allocation Rate x Weight of Base Allocated Cost = Indirect Materials: Allocation Ratex Weight of Base Allocated Cost Home 1 2 x 3 Total The cost components to determine the total cost of each house: Expected Costs Direct labor Direct materials Fringe benefits Indirect materials Total cost Home 1 Home 2 = Home 3 Total
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