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URGENT Ed Inc. makes two kinds of plastic toy dump trucks - the Mini and the Mega. Below is some relevant information for the past

URGENT

Ed Inc. makes two kinds of plastic toy dump trucks - the Mini and the Mega. Below is some relevant information for the past year (unit means one truck): Ed Inc. breaks total indirect costs into two different cost pools, with corresponding cost-allocation bases:

molding costs of $150,000, with molding machine-hours as the allocation base, and assembly costs of $60,000, with direct labor-hours as the allocation base.image text in transcribed

What are the total indirect costs allocated to each Mega dump truck (molding costs plus assembly costs)?

a. $7.94

b. $13.94

c. $15.56

d. $8.90

Number of units sold Sales price per unit Direct materials per unit Direct labor dollars per unit Molding machine hours per unit Direct labor hours perunit Mini 20,000 $10.00 $0.75 $3.60 0.50 Mera 15,000 $19.00 $1.50 $4.50 LUD 0.20 0.25

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