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Muscat Company's total sales are $130,000. The company's direct material cost is $29,000, which represents 40% of its total prime cost. Its total manufacturing overhead
Muscat Company's total sales are $130,000. The company's direct material cost is $29,000, which represents 40% of its total prime cost. Its total manufacturing overhead costs is $45,000. Its total selling and administrative expense is $18,000 and its only variable selling and administrative expense is a sales commission of 3% of sales. The company maintains no beginning Por ending inventories and its manufacturing overhead costs are entirely fixed costs. What is the total manufacturing cost ailc a. $92,000 b. $ 101,000 c. None of the answers given O d. $127,500 e $85,600 f. $117 500 O
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