Question
Eastern Company is a management consulting firm. The company expects to incur $155,000 of indirect costs this year. Indirect costs are allocated based on
Eastern Company is a management consulting firm. The company expects to incur $155,000 of indirect costs this year. Indirect costs are allocated based on the following activities: (Click the icon to view the activities.) (Click the icon to view additional information.) Determine the total cost of the consulting job and the operating income earned. Begin by selecting the formula to compute the allocated overhead (OH) cost. Allocated Actual overhead costs Actual qty of the allocation base used overhead costs Compute the total allocated overhead cost of the job. Allocated Activity Site visits Document preparation: Total overhead costs 80000 75000 155000 Now calculate the total cost of the consulting job. Estimated direct labor cost Total dirart lahor net
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