Jumbo Ltd. produces two types of
office desks classified as Executive and Elite. The
company uses simple job-costing system that has two direct-cost
categories (direct materials and direct labour). Regarding indirect
costs, the company uses a single indirect-cost pool of machine
hours to allocate the indirect cost. For 2020, Jumbo Ltd. estimates
its manufacturing overhead costs and machine hours to be $144,000
and 4,500 hours respectively. Jumbo Ltd. collected the following
information for 2020.
Executive desk
Elite desk
Number...