The total manufacturing costs incurred for the year are $240,000. The overhead cost was 50% of the direct labor cost, and the direct material cost was $30,000. What was the direct labor cost? A) $140,000 B) $135,000 C) $120,000 D) None of the above

The total manufacturing costs incurred for the year are $240,000. The overhead cost was 50% of the direct labor cost, and the direct material cost was $30,000. What was the direct labor cost? A) $140,000 B) $135,000 C) $120,000 D) None of the above

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter2: Basic Cost Management Concepts

Section: Chapter Questions

Problem 21E: Ellerson Company provided the following information for the last calendar year: During the year,...

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Question

What was the direct labor cost on these general accounting question?

The total manufacturing costs incurred for the year are $240,000. The
overhead cost was 50% of the direct labor cost, and the direct material cost
was $30,000. What was the direct labor cost?
A) $140,000
B) $135,000
C) $120,000
D) None of the above

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