A company has total manufacturing costs of $180,000. Direct materials cost $25,000, and overhead is 40% of direct labor. What is the direct labor cost? a. $110,714.29 b. $95,000 c. $105,000 d. $115,500

A company has total manufacturing costs of $180,000. Direct materials cost $25,000, and overhead is 40% of direct labor. What is the direct labor cost? a. $110,714.29 b. $95,000 c. $105,000 d. $115,500

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter1: Introduction To Managerial Accounting

Section: Chapter Questions

Problem 3CMA: A firm has 100,000 in direct materials costs, 50,000 in direct labor costs, and 80,000 in overhead....

See similar textbooks

Related questions

Q: Financial Accounting

A: Calculation of Activity Rate for the Order size activity pool under activity-based costingActivity…

Q: What is the labor efficiency variance?

A: Explanation of Standard Labor Hours: This represents the predetermined time that should be required…

Q: What is the amount of a single interest payment that Orion Technologies will make on these financial…

A: To determine the amount of a single interest payment, you need to use the annual coupon rate and…

Q: Lydia's Bakery has $920,000 in sales. The profit margin is 5 percent, and the firm has 8,000 shares…

A: To calculate the price-earnings (P/E) ratio, we first need to determine the earnings per share (EPS)…

Q: Please provide answer

A: Explanation of Job Costing System:A job costing system is a method used by companies to assign costs…

Q: Ans

A: Explanation: In the given case, we are required to calculate the return on assets for the year 2020…

Q: I want the correct answer and accounting

A: Step 1: Definition of Absorption CostingAbsorption Costing is a costing method that includes all…

Q: What was the gain or loss on the disposal??

A: Step 1: Determine Annual Depreciation Expense The straight-line depreciation formula is: Annual…

Q: General Accounting

A: Step 1: Define Return on Assets (ROA)Return on Assets (ROA) is a financial ratio that measures how…

Q: No WRONG ANSWER

A: The profit per unit at both 700,000 and 650,000 units was calculated by first determining the fixed…

Q: The contribution margin per unit would be??

A: Explanation of Sales Revenue: Sales revenue represents the total money generated from selling goods…

Q: How much will Cedarwood need to borrow during November ?

A: The question pertains to minimum cash balance being maintained by businesses. A minimum…

Q: What is bright sportswear's net income for the year

A: To solve this problem, we need to calculate Bright Sportswear's net income using the Return on…

Q: 1.25.12-Pacific Coast Hotel's laundry department uses load optimization tracking. Each washer has…

A: Concept of Washer Capacity:Washer capacity refers to the maximum load weight that a washer can…

Q: Brentwood Manufacturing forecasts that total overhead for the current year will be $12,000,000 and…

A: Explanation of Predetermined Overhead Rate:The predetermined overhead rate is a calculated rate used…

Q: 5 POINTS

A: To calculate the present value of the lease, use the formula:Present Value (PV) = Annual Payment ×…

Q: Solve these general accounting question

A: Step 1: Define Merchandise PurchasesMerchandise purchases refer to the total amount of goods a…

Q: Solve this Question

A: Explanation of Cost of Goods Manufactured (COGM):The cost of goods manufactured (COGM) refers to the…

Q: The Art Attack Corporation reported sales revenue (accrual basis) of $52,000 for 2019. The accounts…

A: Concept of Sales Revenue (Accrual Basis):Sales revenue on an accrual basis represents the total…

Q: What is the return on assets for the year on these financial accounting question?

A: Step 1: Define Return on Assets (ROA)Return on Assets (ROA) is a profitability ratio that measures…

Q: Compute the company's ROA for 2015???

A: Step 1:To compute the company's Return on Assets (ROA) for 2015, we use the formula:ROA=…

Q: Need answer

A: Calculation of Variable Production Cost per unitVariable Production Cost per unit = Direct Material…

Q: What is it's operating return on assets for this financial accounting question?

A: Step 1: Define Operating Return on Assets (ROA)Operating Return on Assets (ROA) measures how…

Q: How much amount be recorded as goodwill ?

A: Explanation of Goodwill: Goodwill is the excess of purchase price over the fair value of…

Q: What would the material purchase price variance be ?

A: Explanation of Materials Purchase Price Variance:The Materials Purchase Price Variance measures the…

Q: Financial Accounting

A: Step 1: Formula Degree of operating leverage = Contribution margin/Net operating income Step 2:…

Q: Financial Accounting Question please answer

A: Step 1: Define Cost of Goods Manufactured (COGM)Cost of Goods Manufactured (COGM) refers to the…

Q: During June, Martha's Crafts spent $900 to buy 30 handmade vases and sold 5 of them for $80 each.…

A: Step 1: Introduction to income statementIncome statement is referred to as the financial statement…

Q: ANSWER

A: Explanation of Total Asset Turnover:Total Asset Turnover is a financial metric used to evaluate how…

Q: Please provide answer this financial accounting question

A: Step 1: Define Cash ReceiptsCash receipts include the total inflows from cash sales and collections…

Q: Calculate the overhead expenses as a percentage of the net sales.

A: Explanation of Net Sales:Net sales represent the actual revenue generated from sales after deducting…

Q: ??

A: The question requires the determination of the total labor cost as a percentage to sales revenue.…

Q: What is Grey wood Corporation's long term debt on these financial accounting question?

A: Step 1: Define Long-Term DebtLong-term debt is a financial obligation that a company owes and…

Q: During 2015, the assets of Inspiring Sky increased by $45,000, and the liabilities increased by…

A: To calculate the owner's equity at the beginning of 2015, we can use the accounting equation:…

Q: Provide Answer

A: Explanation of Raw Materials Inventory: Raw materials inventory represents the value of materials…

Q: Need help

A: To calculate the estimated direct labor hours at the beginning of the year, we use the formula for…

Q: Financial Accounting: If a stock's P/E ratio is 18.5 at a time when earnings are $4 per year and the…

A: To solve the problem, we use the formula for calculating the price of the stock based on the P/E…

Q: What differentiates process-based validation from outcome testing? (A) Systematic review steps…

A: Understanding the distinction between process-based validation and outcome testing is essential in…

Q: Solve this problem

A: Explination in ROE :Return on Equity (ROE) measures a company's profitability in relation to…

Q: 5 PTS

A: **(a) All data holds equal importance**- **Why this is incorrect**: - Data collection involves…

Q: What is the sustainable rate of growth general accounting

A: To calculate the sustainable growth rate (SGR), we use the formula: SGR = ROE × (1 - Dividend Payout…

Q: Quick accounting question

A: Step 1: Define Net Operating Income:The net operating income is the gross profit in excess of the…

Q: None

A: The times interest earned (TIE) ratio is calculated using the following formula: TIE Ratio = Income…

Q: Why does measurement attribute selection affect reporting quality? a) Standards fit everything b)…

Q: General Accounting

A: Step 1: Define Annual Depreciation RateThe annual depreciation rate represents the percentage of the…

Q: What is Jordan ROE ?

A: Given:Net income = $73,500Sales = $2,156,000Total assets = $560,000Equity multiplier = 1.65…

Q: What was net capital spending???

A: To calculate net capital spending, we use the following formula: Net Capital Spending = Ending Net…

Q: Lydia's Bakery has $920,000 in sales. The profit margin is 5 percent, and the firm has 8,000 shares…

A: The question requires the determination of the price earnings ratio.The price-to-earnings (P/E)…

Q: Compute the product cost per unit using absorption costing?

A: Absorption costing is a costing method where all manufacturing costs are included in the cost of a…

Q: Need help

A: Detailed explanation:Given data:Direct Labor $250,000Direct Materials $210,000Manufacturing Overhead…

Question

Kindly help me with accounting questions

A company has total manufacturing costs of $180,000. Direct materials cost
$25,000, and overhead is 40% of direct labor. What is the direct labor cost?
a. $110,714.29
b. $95,000
c. $105,000
d. $115,500

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Steeler Towel Company estimates its overhead to be $250,000. It expects to have 100,000 direct labor hours costing $2,500,000 in labor and utilizing 12,500 machine hours. Calculate the predetermined overhead rate using: A. Direct labor hours B. Direct labor dollars C. Machine hours
What is the cost of direct labor f the conversion costs are $330.000 and manufacturing overhead is $275,000? $55,000 $275,000 $330,000 $605,000
Crystal Pools estimates overhead will utilize 250,000 machine hours and cost $750,000. It takes 2 machine hours per unit, direct material cost of $14 per unit, and direct labor of $20 per unit. What is the cost of each unit produced?
Boarders estimates overhead will utilize 160,000 machine hours and cost $80,000. It takes 4 machine hours per unit, direct material cost of $5 per unit, and direct labor of $5 per unit. What is the cost of each unit produced?
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 2.70 is direct materials and 5.30 is overhead. What is the prime cost per unit? Conversion cost per unit?
Green Bay Cheese Company estimates its overhead to be $375,000. It expects to have 125,000 direct labor hours costing $1,500,000 in labor and utilizing 15,000 machine hours. Calculate the predetermined overhead rate using: A. Direct labor hours B. Direct labor dollars C. Machine hours
The following product Costs are available for Haworth Company on the production of chairs: direct materials, $15,500; direct labor, $22.000; manufacturing overhead, $16.500; selling expenses, $6,900; and administrative expenses, $15,200. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 7,750 equivalent units are produced, what is the equivalent material cost per unit? If 22,000 equivalent units are produced, what is the equivalent conversion cost per unit?
What is the conversion cost to manufacture insulated travel cups if the costs are: direct materials, $17,000; direct labor, $33,000; and manufacturing overhead, $70,000? A. $16,000 B. $50,000 C. $103,000 D. $120000
The following product costs are available for Stellis Company on the production of erasers: direct materials, $22,000; direct labor, $35,000; manufacturing overhead, $17,500; selling expenses, $17,600; and administrative expenses; $13,400. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 13,750 equivalent units are produced, what is the equivalent material cost per unit? If 17,500 equivalent units are produced, what is the equivalent conversion cost per unit?
Patterson Corporation expects to incur 70,000 of factory overhead and 60,000 of general and administrative costs next year. Direct labor costs at 5 per hour are expected to total 50,000. If factory overhead is to be applied per direct labor hour, how much overhead will be applied to a job incurring 20 hours of direct labor? a. 120 b. 260 c. 28 d. 140
The following product costs are available for Kellee Company on the production of eyeglass frames: direct materials, $32,125; direct labor, $23.50; manufacturing overhead, applied at 225% of direct labor cost; selling expenses, $22,225; and administrative expenses, $31,125. The direct labor hours worked for the month are 3,200 hours. A. What are the prime costs? B. What are the conversion costs? C. What is the total product cost? D. What is the total period cost? E. If 6.425 equivalent units are produced, what is the equivalent material cost per unit? F. What is the equivalent conversion cost per unit?
A company estimates its manufacturing overhead will be $750,000 for the next year. What is the predetermined overhead rate given the following independent allocation bases? Budgeted direct labor hours: 60,000 Budgeted direct labor expense: $1,500,000 Estimated machine hours: 100,000