Nilco Inc. makes three models of running shorts: The Zip, the Flash, and the Sonic Boom....

 

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Nilco Inc. makes three models of running shorts: The Zip, the Flash, and the Sonic Boom. Manufacturing information for each model is provided below: Model Zip Flash Sonic Boom Direct Materials Cost 2.45 3.25 4.15 Direct Labour Hours (number of hours) 0.50 0.75 1.25 Nilco's direct labour costs are 12 per hour. Nilco also allocates overhead based on direct labour hours, with a predetermined rate of E3.80 per hour. Given these figures, what is the total cost of producing one pair of Flash shorts? Nilco Inc. makes three models of running shorts: The Zip, the Flash, and the Sonic Boom. Manufacturing information for each model is provided below: Model Zip Flash Sonic Boom Direct Materials Cost 2.45 3.25 4.15 Direct Labour Hours (number of hours) 0.50 0.75 1.25 Nilco's direct labour costs are 12 per hour. Nilco also allocates overhead based on direct labour hours, with a predetermined rate of E3.80 per hour. Given these figures, what is the total cost of producing one pair of Flash shorts?

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To calculate the total cost of producing one pair of Flash shorts you need to consider the di... View the full answer