Conversion cost is $20000 and manufacturing overhead cost is $7000, then direct manufacturing labour cost will be
A. $27,000
B. $13,000
C. $130,000
D. $29,500
Answer: Option B
Solution(By Examveda Team)
Direct manufacturing labour cost = Conversion cost - Manufacturing overhead cost= $20000 - $7000 = $13000
Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
Join The Discussion