Question

#14

Here are selected data for Crumb​ Company:

Cost of goods manufactured	$ $320,400
Work in process​ inventory, beginning	$ $110,000
Work in process​ inventory, ending	$ $104,700
Direct materials used	$ $73,700

Manufacturing overhead is allocated at

50​%

of direct labor cost.

What was the amount of direct labor​ costs? (Round your answer to the nearest​ cent.)

Answer 1

Direct labour cost = $ 1,60,933
Cost of goods manufactured	$                3,20,400
Add: Working process inventory ending	$                1,04,700
Less: Working process inventory beginning	$              -1,10,000
Total Manufacturing Cost	$                3,15,100
Less: Direct materials	$                  -73,700
Direct labour + Manufacturing overhead	$                2,41,400
241400/1.5	$                1,60,933