The example in Table 8.2 shows three possible ways of apportioning total direct costs. Using the same example, suppose the direct non-labor (DNL) cost and G&A are broken down as follows:

Assuming all remaining costs shown in Table 8.2 are unchanged, compute the project costs for MARS and PLUTO using the following apportioning rules:

a. Overhead (OH) is proportionate to direct labor (DL).

b. Freight G&A is proportionate to materials.

c. Other G&A is proportionate to DL, OH, DNL, and freight.

MARS Direct Non-Labor PLUTO G&A Materials 30 Other 10 40 10 550 Freight Other 32 40 829