Question

Calico Corporation produced 2 comma 500 units in Job 903. The following data is provided for Job 903 for the​ year: Direct materials used $ 3 comma 200 Direct labor costs $ 1 comma 092 Actual manufacturing overhead rate per direct labor hour ​$17.15 Predetermined manufacturing overhead rate per direct labor hour $ 18.60 Direct labor hours used in Job 903 42 Direct labor rate per hour $ 26 What is the total cost of Job​ 903? (Round intermediary calculations to the nearest cent and final answer to the nearest​ dolla

Answer 1

The total cost of Job​ 903 is $5,073.20

Step-by-step explanation:

The computation of the total cost is shown below:

= Direct material used + Direct labor cost + overhead cost (Predetermined manufacturing overhead rate per direct labor hour × Direct labor hours used in Job 903)

= $3,200 + $1,092 + ($18.60 × 42 labor hours)

= $3,200 + $1,092 + $781.20

= $5,073.20