Question
The company Beautiful Horizons is a textile company that is specialized in fabricating promotional jackets with embroidered logos. Use the machinery hours as the only
The company Beautiful Horizons is a textile company that is specialized in fabricating promotional jackets with embroidered logos. Use the machinery hours as the only allocation basis. These are the estimates for the following year. Also, these are the estimates for the jackets that the EGAE requests to promote their new eMBA. How much is the indirect costs that will be distributed or allocated to the EGAE order?
|
| Company | eMBA EGAE |
| Direct materials | $40,000 | $2,000 |
| Direct labor | $10,000 | $400 |
| Manufacturing overhead costs | $45,000 |
|
| Machine hours | 100,000 mh | 900 mh |
- $1,920
- $1,970
- $2,905
- $2,805
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Financial Accounting An Introduction To Concepts Methods And Uses
Authors: Clyde P. Stickney, Roman L. Weil
9th Edition
0030259622, 978-0030259623
