Bradford, Inc., expects to sell 9,000 ceramic vases for $21 each. Direct materials costs are $3, direct manufacturing labor is $12, and manufacturing overhead is $3 per vase. The following inventory levels apply to 2019: Beginning Ending Inventory Inventory Direct materials 3,000 units 3,000 units Work in process 0 units 0 units inventory Finished goods 300 units 500 units inventory What are the 2019 budgeted production costs for direct materials, direct manufacturing labor, and manufacturing overhead, respectively? a. $27,600; $110,400; $27,600. b. $27,000; $108,000; $27,000. c. $9,000; $36,000; $9,000. d. $9,000; $0; $10,500.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Bradford, Inc., expects to sell 9,000 ceramic vases for $21
each. Direct materials costs are $3, direct manufacturing
labor is $12, and manufacturing overhead is $3 per vase.
The following inventory levels apply to 2019:
Beginning
Ending
Inventory
Inventory
Direct materials
3,000 units
3,000 units
Work in process
0 units
0 units
inventory
Finished goods
300 units
500 units
inventory
What are the 2019 budgeted production costs for direct
materials, direct manufacturing labor, and manufacturing
overhead, respectively?
a. $27,600; $110,400; $27,600.
b. $27,000; $108,000; $27,000.
c. $9,000; $36,000; $9,000.
d. $9,000; $0; $10,500.
Transcribed Image Text:Bradford, Inc., expects to sell 9,000 ceramic vases for $21 each. Direct materials costs are $3, direct manufacturing labor is $12, and manufacturing overhead is $3 per vase. The following inventory levels apply to 2019: Beginning Ending Inventory Inventory Direct materials 3,000 units 3,000 units Work in process 0 units 0 units inventory Finished goods 300 units 500 units inventory What are the 2019 budgeted production costs for direct materials, direct manufacturing labor, and manufacturing overhead, respectively? a. $27,600; $110,400; $27,600. b. $27,000; $108,000; $27,000. c. $9,000; $36,000; $9,000. d. $9,000; $0; $10,500.
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