Perry Company. Perry Company manufactures wood file cabinets.The following information is available for June of the current year.
The direct labor rate is $9.60 per hour and overhead for the month was $9,600.
Refer to Perry Company.Compute total manufacturing costs for June,if there were 1,500 direct labor hours and $21,000 of raw material was purchased.

Question

Perry Company. Perry Company manufactures wood file cabinets.The following information is available for June of the current year.
 The direct labor rate is $9.60 per hour and overhead for the month was $9,600.
Refer to Perry Company.Compute total manufacturing costs for June,if there were 1,500 direct labor hours and $21,000 of raw material was purchased.

Quizplus · Accepted Answer

Total Manufacturing Costs = Direct Labor + Direct Materials + Manufacturing Overhead
Direct labor = 1,500 hours x $9.60 per hour = $14,400
Direct materials = $21,000
Manufacturing overhead = $9,600

Total Manufacturing Costs = $14,400 + $21,000 + $9,600 = $43,000

Therefore, the correct choice is C.