Pacific Industries' manufacturing overhead is 60% of its total conversion costs. If direct labor is $80,000 and direct materials are $65,000, the manufacturing overhead is: a. $48,000 b. $120,000 c. $87,000 d. $145,000

Pacific Industries' manufacturing overhead is 60% of its total conversion costs. If direct labor is $80,000 and direct materials are $65,000, the manufacturing overhead is: a. $48,000 b. $120,000 c. $87,000 d. $145,000

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 2EA: Crystal Pools estimates overhead will utilize 250,000 machine hours and cost $750,000. It takes 2...

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I need help with question is correct answer and accounting question

Pacific Industries' manufacturing overhead is 60% of its total conversion
costs. If direct labor is $80,000 and direct materials are $65,000, the
manufacturing overhead is:
a. $48,000
b. $120,000
c. $87,000
d. $145,000

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