Merone Company allocates materials handling cost to the company's two products using the below data Modular Homes 6,000 600 800 Prefab Barns 9,000 Total expected units produced Total expected material moves Expected direct labor-hours per unit The total materials handling cost for the year is expected to be $300,000 If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to the modular homes is closest to: (Round your intermediate calculations to 2 decimal places.) 200 300

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter6: Activity-based, Variable, And Absorption Costing
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Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...
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Merone Company allocates materials handling cost to the company's two products using the below data
Modular
Homes
Total expected units produced
Total expected material moves
6,000
600
Expected direct labor-hours per unit
800
The total materials handling cost for the year is expected to be $300,000.
If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to
the modular homes is closest to: (Round your intermediate calculations to 2 decimal places.)
Prefab
Barns
9,000
200
300
Transcribed Image Text:Merone Company allocates materials handling cost to the company's two products using the below data Modular Homes Total expected units produced Total expected material moves 6,000 600 Expected direct labor-hours per unit 800 The total materials handling cost for the year is expected to be $300,000. If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to the modular homes is closest to: (Round your intermediate calculations to 2 decimal places.) Prefab Barns 9,000 200 300
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