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Direct materials and direct labor of a company total $9300000. If manufacturing overhead is $4650000, what is direct labor cost?

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Answer:

Cannot be determined from the information provided

Step-by-step explanation:

Remember, the direct labor cost refers to costs which can be directly traced/connected to the production process such as wages/salaries for machine operators etc. However, the since the cost is summed up with the direct materials cost, it is difficult/impossible to determine what the direct labor cost is from having only a knowledge of manufacturing overhead cost; because the manufacturing overhead cost entails all indirect materials cost related to manufacturing not labor.

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