Mathematics · Job Costing
A company operates a job costing system. Job number 605 requires: Direct materials: $300 Direct labour: $400 Direct labour rate: $8 per hour Production overheads absorbed at: $26 per direct labour hour Non-production overheads absorbed at: 120% of prime cost What is the total cost of job number 605?
- 1$2,000
- 2$2,400
- 3$2,840✓
- 4$4,400
Correct answer
$2,840
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