asked 167k views
5 votes
Boswell company manufactures two products, regular and supreme. boswell's overhead costs consist of machining, $3,000,000; and assembling, $1,500,000. information on the two products is: regular supreme direct labor hours 10,000 15,000 machine hours 10,000 30,000 number of parts 90,000 160,000 overhead applied to regular using traditional costing using direct labor hours is select one:

a. $1,290,000.

b. $1,800,000.

c. $2,700,000.

d. $3,210,000.

asked
User Maren
by
8.8k points

1 Answer

1 vote
Total overhead costs
3000000+1500000=4500000

Total direct labor hours
10000+15000=25000 hours

Predetermined oH rate
4500000÷25000=180

Overhead applied to regular
180×10000 h =1800000...answer


answered
User Milesma
by
7.2k points
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