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The controller of Kleyman Company estimates the amount of materials handling overhead cost that should be allocated to the company's two products using the data that are given below:
Wall Mirrors Specialty WindowsTotal expected units produced 8,000 7,000Total expected material moves 300 900Expected direct labor-hours per unit 5 7
The total materials handling cost for the year is expected to be 34,600.Reference: 8-11
If the materials handling cost is allocated on the basis of direct labor-hours, how much of the total materials handling cost should be allocated to the wall mirrors? (Round off your answer to the nearest whole dollar.)
16,17615,55114,20015,293
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Phoenix Manufacturers makes blank computer disks. It takes one-eighth of a pound of direct materials and one minute of direct labor at standard per disk. Direct materials cost $2.60 per pound at standard, and the standard direct labor rate is $6.0..
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