An order for a metal fabrication requires production processes from two departments as follows: 1. Laser cutting 2. Folding/bending and welding The laser cutting is costed on a machine hour rate basis and has already been determined to be £2500 for this order. Determine the total cost of this fabrication given the following information The bending and welding department requires 30 hours of labour costed at £15 per hour The folding/bending and welding department has an annual overhead of £216k to absorb The total annual labour hours for this department are 3600 hours (overheads are absorbed on this basis) The direct cost of materials for this fabrication is £800. What is the total production cost of this order? O £4750 £5550 £5100 O £3050 O £219,759

Elements Of Electromagnetics
7th Edition
ISBN:9780190698614
Author:Sadiku, Matthew N. O.
Publisher:Sadiku, Matthew N. O.
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An order for a metal fabrication requires production processes from two departments as follows:
1. Laser cutting
2. Folding/bending and welding
The laser cutting is costed on a machine hour rate basis and has already been determined to be £2500 for this order.
Determine the total cost of this fabrication given the following information
The bending and welding department requires 30 hours of labour costed at £15 per hour
The folding/bending and welding department has an annual overhead of £216k to absorb
The total annual labour hours for this department are 3600 hours (overheads are absorbed on this basis)
The direct cost of materials for this fabrication is £800.
What is the total production cost of this order?
O £4750
£5550
O £5100
O £3050
O £219,759
Transcribed Image Text:An order for a metal fabrication requires production processes from two departments as follows: 1. Laser cutting 2. Folding/bending and welding The laser cutting is costed on a machine hour rate basis and has already been determined to be £2500 for this order. Determine the total cost of this fabrication given the following information The bending and welding department requires 30 hours of labour costed at £15 per hour The folding/bending and welding department has an annual overhead of £216k to absorb The total annual labour hours for this department are 3600 hours (overheads are absorbed on this basis) The direct cost of materials for this fabrication is £800. What is the total production cost of this order? O £4750 £5550 O £5100 O £3050 O £219,759
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