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Jody Jewelry manufactures jewelry. It applies overhead based on direct labor hours. In October Jody ...

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Jody Jewelry manufactures jewelry. It applies overhead based on direct labor hours. In October Jody ...

Jody Jewelry manufactures jewelry. It applies overhead based on direct labor hours. In October Jody is planning to make 500 rings, 400 bracelets, and 210 pendants. The company expects the total manufacturing overhead for the year would be $3,450,000 and that total direct labor hours for the year would be 75,000. Actual overhead incurred for October was $295,920. Each ring requires 6.25 hours of labor to manufacture; each bracelet requires 5.5 hours of labor to manufacture, and each pendant requires 4 hours of labor to manufacture. What is the standard overhead cost per ring?

▸ $300.00

▸ $46.00

▸ $287.50

▸ $48.00

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Managerial Accounting

Edition: 4^th

Author: Davis

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