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Yallow, Inc. manufactures teddy bears and dolls. Currently, Yallow makes 2850 teddy bears each month. Each teday bear uses $14.75 in direct materials and $4.75
Yallow, Inc. manufactures teddy bears and dolls. Currently, Yallow makes 2850 teddy bears each month. Each teday bear uses $14.75 in direct materials and $4.75 in direct labor. Yollow uses two activities in manufacturing the teddy bears Sewing and Processing. The cost associated with Sewing is $21.375 a month, allocated on the basis of direct labor hours. The cost associated with Processing is $14,250 a month, allocated on the basis of batches. The activity drivers are used as follows Teddy Bears Dolls Direct labor hours 217 217 Batches 154 286 What is the total manufacturing cost for one teddy bear? Multiple Choice $2500 119.50 $2150 o 524.00
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