Hercules Hair Restorer Inc.(HHRI) makes many varieties of hair restoration products which are sold under well-known marketing labels.A single batch contains 10,000 8-oz.bottles and takes two days to make.Typically 15 batches are completed per month,for different brands.Basic cost data for the month of January appears below.
The firm uses absorption costing and allocates overhead on the basis of January's actual expenses and direct labor hours.For batches made in January,which is true? (Do not round your intermediate calculations. )
A) Direct materials costs total $192,200
B) Direct labor and direct material cost per batch is $192,900
C) Overhead per direct labor hour amounts to $41.09
D) The full cost of 20 bottles is $393.80
E) None of the choices are correct
Correct Answer:
Verified
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