American Delights manufactures a wide variety of holiday and seasonal decorative items. American's activity-based costing overhead rates are: Purchasing $380 per order Storing $2 per square foot/days Machining $100 per machine hour Supervision $5 per direct labor hour The Snow Man project involved three purchase orders, 4,000 square feet/days, 60 machine hours, and 40 direct labor hours. The cost of direct materials on the job was $19,000 and the direct labor rate is $30 per hour. Determine the total cost of the Snow Man project. Total cost
American Delights manufactures a wide variety of holiday and seasonal decorative items. American's activity-based costing overhead rates are: Purchasing $380 per order Storing $2 per square foot/days Machining $100 per machine hour Supervision $5 per direct labor hour The Snow Man project involved three purchase orders, 4,000 square feet/days, 60 machine hours, and 40 direct labor hours. The cost of direct materials on the job was $19,000 and the direct labor rate is $30 per hour. Determine the total cost of the Snow Man project. Total cost
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![American Delights manufactures a wide variety of holiday and seasonal decorative items. American's
activity-based costing overhead rates are:
Purchasing
$380
per order
Storing
$2
per square foot/days
Machining
$100
per machine hour
Supervision
$5
per direct labor hour
The Snow Man project involved three purchase orders, 4,000 square feet/days, 60 machine hours, and 40
direct labor hours. The cost of direct materials on the job was $19,000 and the direct labor rate is $30 per
hour.
Determine the total cost of the Snow Man project.
Total cost](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0a2c9603-1787-46ff-a572-05a9e1703218%2F3d2c9b65-4906-409b-ab97-58bcd825000c%2F726ztr_processed.jpeg&w=3840&q=75)
Transcribed Image Text:American Delights manufactures a wide variety of holiday and seasonal decorative items. American's
activity-based costing overhead rates are:
Purchasing
$380
per order
Storing
$2
per square foot/days
Machining
$100
per machine hour
Supervision
$5
per direct labor hour
The Snow Man project involved three purchase orders, 4,000 square feet/days, 60 machine hours, and 40
direct labor hours. The cost of direct materials on the job was $19,000 and the direct labor rate is $30 per
hour.
Determine the total cost of the Snow Man project.
Total cost
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