During the month of May,Bennett Manufacturing Company purchases $43,000 of raw materials.The manufacturing overhead totals $27,000 and the total manufacturing costs are $106,000.Assuming a beginning inventory of raw materials of $8,000 and an ending inventory of raw materials of $6,000,what must be the total for direct labour?
A) $34,000.
B) $38,000.
C) $36,000.
D) $45,000.

Question

Quizplus · Accepted Answer

Total manufacturing costs = Direct labor + Manufacturing overhead + Raw materials used$106,000 = Direct labor + $27,000 + ($43,000 - $6,000 + $8,000)$106,000 = Direct labor + $27,000 + $45,000$106,000 = Direct labor + $72,000Direct labor = $106,000 - $72,000Direct labor = $34,000

During the Month of May,Bennett Manufacturing Company Purchases $43,000 of Raw