Question

Copy Center pays an average wage of $13 per hour to employees for printing and copying jobs, and allocates $19 of overhead for each employee hour worked. Direct materials are assigned to each job according to actual cost. If Job M-47 used $365 of direct materials and took 15 direct labor hours of labor to complete, what is the total cost that should be assigned to the job

Answer 1

See below

Step-by-step explanation:

Given that:

Direct materials = $365

Direct labor = ($13 × 15) = $195

Factory overhead = ($19 × 15) = $285

Total cost is computed as

= Direct material + Direct labor + Factory overhead

= $365 + ($13 × 15) + ($19 × 15)

= $365 + $195 + $285

= $845

Therefore the total cost that should be assigned to the job is $845