Question

La Mujer Accessories Inc. produces women’s handbags. The cost of

producing 1,100 handbags is as follows:



Direct
materials

$16,900


Direct
labor

7,400


Factory
overhead

6,100


Total
manufact

Answer 1

The total manufacturing cost of producing 1,100 handbags by La Mujer Accessories Inc. is $30,400. This is calculated by adding up the direct materials cost, direct labor cost, and factory overhead cost, which are $16,900, $7,400, and $6,100, respectively.

$16,900 + $7,400 + $6,100 = $30,400