Question

Beginning Ending Raw Material Inventory $6,000 $7,500 Work in Process Inventory 17,300 11,700 Finished Goods Inventory 21,000 16,300 The direct labor rate is $9.60 per hour and overhead for the month was $9,600. Refer to Wilson Company. Compute total manufacturing costs for June, if there were 1,500 direct labor hours and $21,000 of raw material was purchased.

Answer 1

the Total manufacturing cost is $43,500

Step-by-step explanation:

The computation of the total manufacturing cost is shown below:

Total manufacturing cost is

= raw material consumed + direct labor cost + overhead cost

= ($6,000 + $21,000 - $7,500) + $(1,500 ×$9.60) + $9,600

= $19,500 + $14,400 + $9,600

= $43,500

hence, the Total manufacturing cost is $43,500