Job 450 requires 9800 of direct materials 7400 of direct lab

Job 450 requires $9,800 of direct materials, $7,400 of direct labor, 640 direct labor hours, and 500 machine hours. Manufacturing overhead is computed at $21 per direct labor hour used and $19 per machine hour used. The total cost of Job 450 is OA. $17,200 OB. $30,640 O C. $22,940 D. $40,140

Solution

D. $40,140

The total cost of Job 450 is:

= $9,800 + $7,400 + ($21 × 640) + ($19 × 500)

= $40,140