Problem:
May Costs are:
Direct Material 41,000
Direct Labor 13,000
Manufacturing overhead 46,000
Selling expense 18,000
Administrative expense 15,000
What are the conversion costs?
Manufacturing overhead is 40% of total conversion cost. Direct labor is $18,000 and direct materials is $24,000. What is the manufacturing overhead? What is the manufacturing overhead if direct labor is $39,000 and direct material is $27,000?