|
Andujo Company allocates materials handling cost to the company's two products using the below data:
|
|
Modular Homes |
Prefab Barns |
| Total expected units produced |
9,900 |
16,000 |
| Total expected material moves |
1,000 |
980 |
| Expected direct labor-hour per unit |
560 |
490 |
| The total materials handling cost for the year is expected to be $200,000. |
If the materials handling cost is allocated on the basis of direct labor-hours, how much of the total materials handling cost would be allocated to the Prefab Barns?