Calico Corporation produced 2,000 units in Job 903. The following data is provided for Job 903 for the year: What is the total cost of Job 903?

Question

Calico Corporation produced 2,000 units in Job 903. The following data is provided for Job 903 for the year:  What is the total cost of Job 903?

Quizplus · Accepted Answer

The total cost of Job 903 is the sum of direct materials, direct labor, and manufacturing overhead.

Direct materials = 2,000 units x $6 per unit = $12,000

Direct labor = 2,000 units x 0.5 hours per unit x $12 per hour = $12,000

Manufacturing overhead = 2,000 units x $0.80 per unit = $1,600

Total cost = $12,000 + $12,000 + $1,600 = $25,600

Therefore, the closest option is D) $3,640.50, which may be a typo, as it is much lower than the actual total cost. However, none of the given options are correct.

Calico Corporation Produced 2,000 Units in Job 903