this new prouuer Salary of executive of Managing overall operations company PROBLEMS 4-45 Cost Accumulation and Allocation nperiod, e ct Zhao Manufacturi following costs were incurred by the com $75,000; and indi acturing Company has two departments, machining and finishing. For a given pany as a whole: direct material, $200,000; dire rect production, $80,000. The grand total was $355,000. % of the dire The machining department incurred 70% ofthe direct material costs, but only 33 labor costs. As is commonplace, indirect production costs incurred by each department were all to products in proportion to the direct-labor costs of products within the departments. Three products were produced. Product Direct MaterialDirect Labor Sigma Chi Delta Total for the machining department 40% 30% 30% 100% 30% 30% 40% 100% Sigma Chi Delta Total added by finishing department 335% 336% 335% 100% 40% 40% 20% 100% The indirecz pein amouned to machining $38,000 and finishing. S4 costs incurred by the machining and finishing departments and he indirect producti products therein amo allocated to al