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26 November, 06:45

Copy Center pays an average wage of $13 per hour to employees for printing and copying jobs, and allocates $19 of overhead for each employee hour worked. Direct materials are assigned to each job according to actual cost. If Job M-47 used $375 of direct materials and took 15 direct labor hours of labor to complete, what is the total cost that should be assigned to the job?

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  1. 26 November, 09:00
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    Total cost = $855

    Explanation:

    Giving the following information:

    Copy Center pays an average wage of $13 per hour to employees for printing and copying jobs and allocates $19 of overhead for each employee hour worked.

    Job M-47:

    Direct material = $375

    Direct labor = 15 direct labor hours

    The total cost of Job M-47 is calculated by adding direct material, direct labor, and allocated overhead:

    Direct labor = 15*13 = $195

    Allocated overhead = 15*19 = $285

    Total cost = 375 + 195 + 285 = $855
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