The ending inventory of finished goods has a total cost of $9,000 and consists of 600 units.

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The ending inventory of finished goods has a total cost of $9,000 and consists of 600 units. If the overhead applied to these goods is $3,000, and the overhead rate is75% of direct labor, how much direct materials cost was incurred in producing these units?
A. $3,750.
B. $2,000.
C. $4,000
D. $6,000.
E. $9,000.
Ending Inventory
The ending inventory is the amount of inventory that a business is required to present on its balance sheet. It can be calculated using the ending inventory formula                Ending Inventory Formula =...
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Managerial Accounting

ISBN: 978-0132890540

3rd edition

Authors: Karen W. Braun, Wendy M. Tietz

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