Job 303 includes direct materials costs of $ 540 and direct labor costs of $ 400. if the predetermined overhead allocation rate is 50% of direct labor cost, what is the total cost assigned to job 303?

Total cost will be $1140

Explanation:

We have given direct material cost = $540

Direct labor cost = $400

And overhead allocation is 50 % of direct labor cost

So overhead allocation = 50 % of $400 = $200

We have to find the total cost assigned to the job

So total cost = direct material cost + direct labor cost + overhead allocation = $540 + $400 + $200 = $1140

So total cost will be $1140

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