Merone Company allocates materials handling cost to the company's two products using the below data: Modular Homes 5,700 570 770 Total expected units produced Total expected material moves Expected direct labor-hours per unit The total materials handling cost for the year is expected to be $370,590. Prefab Barns 8,700 170 270 If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to the modular homes is closest to: (Round your intermediate calculations to 2 decimal places.)

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
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Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...
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O
$285,456.00
$274,379.13
$177,709.00
$233,334.00
Transcribed Image Text:O $285,456.00 $274,379.13 $177,709.00 $233,334.00
Merone Company allocates materials handling cost to the company's two products using the below data:
Modular
Homes
5,700
570
770
Prefab
Barns
8,700
170
270
Total expected units produced
Total expected material moves
Expected direct labor-hours per unit
The total materials handling cost for the year is expected to be $370,590.
If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to the modular homes is closest to:
(Round your intermediate calculations to 2 decimal places.)
Transcribed Image Text:Merone Company allocates materials handling cost to the company's two products using the below data: Modular Homes 5,700 570 770 Prefab Barns 8,700 170 270 Total expected units produced Total expected material moves Expected direct labor-hours per unit The total materials handling cost for the year is expected to be $370,590. If the materials handling cost is allocated on the basis of material moves, the total materials handling cost allocated to the modular homes is closest to: (Round your intermediate calculations to 2 decimal places.)
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