Asked by
Alexander Pacheco
on Oct 11, 2024
Verified
Kiever, Inc., manufactures and sells two products: Product O9 and Product Y1.Data concerning the expected production of each product and the expected total direct labor-hours (DLHs) required to produce that output appear below: 
The company's total manufacturing overhead is $1,121,960.If the company allocates all of its overhead based on direct labor-hours, the predetermined overhead rate would be closest to:
A) $48.00 per DLH
B) $120.64 per DLH
C) $60.08 per DLH
D) $92.34 per DLH
Direct Labor-Hours
The total hours worked by employees directly involved in the manufacturing process, used as a basis for allocating labor costs to products.
- Calculate the charges for overhead and apply these calculations to deduce the costs of products in accordance with Activity-Based Costing.
- Grasp the approach for allocating overhead costs through multiple activity drivers effectively.
Verified Answer
AT
Learning Objectives
- Calculate the charges for overhead and apply these calculations to deduce the costs of products in accordance with Activity-Based Costing.
- Grasp the approach for allocating overhead costs through multiple activity drivers effectively.