Question

Jim Wilson is a typical manufacturing employee who commonly works 40 hours per week and is paid $14 per hour. During the last pay period, Jim performed the following activities:
Product assembly.................29.5 hours
Cleaning his work area ............... 5.0
Attending a workplace safety meeting .......... 2.5
Talking with a supervisor about football ......... 1.0
Giving a tour of the plant to schoolchildren ....... 2.0

Required
Jim’s employer uses job costing to measure and track production costs. The company is very concerned with maintaining accurate cost data. Determine the amount of labor costs that should be allocated to direct labor and indirect labor as manufacturing overhead.



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  • CreatedMarch 11, 2015
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