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Subject Company manufactures customized fabric yarns on a job-order basis. Job 450 is an order for 150 units. It requires the following: Direct materials $4,000
Subject Company manufactures customized fabric yarns on a job-order basis. Job 450 is an order for 150 units. It requires the following: Direct materials $4,000 Direct labor ($10/hr.) 2,000 Overhead (150% of direct labor cost) 3,000 After inspection, 3 units needed rework which required 6 additional direct labor hours and $50 of materials. If the spoilage was considered normal, what is the cost of Job 450
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