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Haley Corporation manufactures custom cabinets for kitchens. It uses a normal-costing system with two direct-cost categories-direct materials and direct manufacturing labor-and one indirect-cost pool,
Haley Corporation manufactures custom cabinets for kitchens. It uses a normal-costing system with two direct-cost categories-direct materials and direct manufacturing labor-and one indirect-cost pool, manufacturing overhead costs. It provides the following information for 2020: (Click the icon to view the information for 2020.) Read the requirement. Begin by calculating the budgeted indirect cost rate. Select the formula and then calculate the rate. (Assume the cost allocation base is direct labor hours.) Budgeted manufacturing overhead costs 1080000 Budgeted labor hours 30000 = Budgeted indirect cost rate 36 Now calculate the total manufacturing cost of the 32 Charity Drive job. Job Costs Direct manufacturing labor Direct materials Manufacturing overhead allocated Total costs 32 Charity Drive Job
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