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Expected Costs Direct labor Direct materials Home 1 $ 65,000 105,000 Home 2 $110,000 148,000 Home 3 $176,000 181,000 Assume Thornton needs to allocate two
Expected Costs Direct labor Direct materials Home 1 $ 65,000 105,000 Home 2 $110,000 148,000 Home 3 $176,000 181,000 Assume Thornton needs to allocate two major overhead costs ($52,650 of employee fringe benefits and $13,020 of indi costs) among the three jobs. Required Choose an appropriate cost driver for each of the overhead costs and determine the total cost of each house. (Round "A rate" to 2 decimal places.) Fringe Benefits: Home Allocation Rate Weight of Base Allocated Cost 1 $ 0 2 0 3 = 0 Total $ 0 Indirect Materials: Home Allocation Rate X Weight of Base Allocated Cost 1 $ 0 2 X 0 3 = 0 Total $ 0 The cost components to determine the total cost of each house: Expected Costs Home 1 Home 2 Direct labor Home 3 Total $ 0 Ni-------- The cost components to determine the total cost of each house: Expected Costs Home 1 Home 2 Home 3 Total Direct labor 0 0 Direct materials Fringe benefits Indirect materials 0 0 Total cost $ 0 0 0 $ 0
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