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What is dominguez cost to do the job for mcdermott

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Reference no: EM132509801

Dominguez Company allocates overhead on the basis of Direct Materials Dollars ($DM). The amount of $DM is $1,200,000 and the amount of overhead is $900,000 for the year. Dominguez wants to find out how much it would cost to do a job for the McDermott Company.

Data for the McDermott job are as follows:

Direct Materials:         $80,000
Direct Labor:                $12,000
Machine Hours:            5,000 hours
Floor Space Needed:  20,000 square feet

Question 1: What is Dominguez's cost to do the job for McDermott?

Reference no: EM132509801

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