Question
Wild West has developed a cost function for its manufacturing overhead costs. Various manufacturing overhead costs along with their cost functions are shown below: Manufacturing
Wild West has developed a cost function for its manufacturing overhead costs. Various manufacturing overhead costs along with their cost functions are shown below: Manufacturing Overhead Cost Cost Function Electricity $400 + $140 per direct labour hour Maintenance $800 + $40 per direct labour hour Supervisors' salaries $16,000 per month Indirect materials $50 per direct labour hour If July production is expected to be 200 units that require 300 direct labour hours, estimated manufacturing overhead costs would be
a.$17,430.
b.$55,200.
c.$63,200.
d.$86,200.
e.Some other figure not listed here.
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