Compute the total cost for direct labor hours

Question

Discussion:

Cameron Carts produces three models of push carts, the Economy, the Standard, and the Deluxe. Data on operations and costs for the month are:

Compute the total cost for each model, assuming Cameron Carts uses:

(a) direct labor hours to allocate overhead costs;

(b) direct labor costs to allocate overhead costs; and

(c) machine hours to allocate overhead costs.