Question
The Lislevand plant has two categories of overhead: maintenance and inspection. Costs expected for these categories for the coming year are as follows: Maintenance $121645
The Lislevand plant has two categories of overhead: maintenance and inspection. Costs expected for these categories for the coming year are as follows:
Maintenance | $121645 |
Inspection | $184402 |
The plants expected capacity is 88283 direct labour hours. The following data has been assembled for use in developing a bid for a proposed job.
Direct materials | $? |
Direct labour | $5650 |
Machine hours | 410 |
Number of inspections | 9 |
Direct labour hours | 749 |
Total expected machine hours for all jobs during the year is 38065 and the total expected number of inspections is 2539. Using activity-based costing and the appropriate cost drivers, if the total cost of the proposed job is $11382 what is the direct materials used in the job?
Select one:
a. $3768
b. $9418
c. $5732
d. $3135
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