Question
Ibrahim Corporation has the following estimated costs for the year: Direct Materials Rs. 20,000 Factory Rent Rs. 10,000 Sales Salaries Rs. 50,000 Factory Depreciation Rs.
- Ibrahim Corporation has the following estimated costs for the year:
Direct Materials Rs. 20,000
Factory Rent Rs. 10,000
Sales Salaries Rs. 50,000
Factory Depreciation Rs. 5,000
Direct Labor Rs. 25,000
Foremans Salary Rs. 20,000
Indirect Material Rs. 4,000
Indirect Labor Rs. 3,000
Ibrahim Corporation estimates that 25,000 labor-hours will be worked during the year. If FOH rate is applied on the basis of direct labor hours, the overhead rate per hour will be:
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Managerial Accounting Tools For Business Decision Making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Ibrahim M. Aly, Donald E. Kieso
6th Canadian Edition
1119731828, 9781119731825
