Aberge Company's manufacturing overhead is 60% of its total conversion costs. If direct labor is $38,000 and if direct materials are $21,000, the manufacturing overhead is: a. $57,000 b. $88,500 c. $25,333 d. $31,500

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter5: Process Costing
Section: Chapter Questions
Problem 8MC: What is the conversion cost to manufacture insulated travel cups if the costs are: direct materials,...
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Aberge Company's manufacturing overhead is 60% of its
total conversion costs. If direct labor is $38,000 and if
direct materials are $21,000, the manufacturing overhead
is:
a. $57,000
b. $88,500
c. $25,333
d. $31,500
Transcribed Image Text:Aberge Company's manufacturing overhead is 60% of its total conversion costs. If direct labor is $38,000 and if direct materials are $21,000, the manufacturing overhead is: a. $57,000 b. $88,500 c. $25,333 d. $31,500
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