Selected data for Lemon Grass, Inc. for the year are provided below: $$\begin{array} { | l | r | }
\hline \text { Factory Utilities } & \$ 1000 \
\hline \text { Indirect Materials Used } & 34,000 \
\hline \text { Direct Materials Used } & 292,000 \
\hline \text { Property Taxes on Factory Building } & 5900 \
\hline \text { Sales Commissions } & 85,000 \
\hline \text { Indirect Labor Incurred } & 22,000 \
\hline \text { Direct Labor Incurred } & 150,000 \
\hline \text { Depreciation on Factory Equipment } & 6800 \
\hline
\end{array}$$ What is the total manufacturing overhead?
A) $442,000
B) $56,000
C) $69,700
D) $13,700

Question

Selected data for Lemon Grass, Inc. for the year are provided below: $$\begin{array} { | l | r | } 
\hline \text { Factory Utilities } & \$ 1000 \
\hline \text { Indirect Materials Used } & 34,000 \
\hline \text { Direct Materials Used } & 292,000 \
\hline \text { Property Taxes on Factory Building } & 5900 \
\hline \text { Sales Commissions } & 85,000 \
\hline \text { Indirect Labor Incurred } & 22,000 \
\hline \text { Direct Labor Incurred } & 150,000 \
\hline \text { Depreciation on Factory Equipment } & 6800 \
\hline
\end{array}$$ What is the total manufacturing overhead?
A) $442,000
B) $56,000
C) $69,700
D) $13,700

Quizplus · Accepted Answer

Manufacturing overhead includes all manufacturing costs except direct materials and direct labor. Therefore, it includes Factory Utilities ($1,000), Indirect Materials Used ($34,000), Property Taxes on Factory Building ($5,900), Indirect Labor Incurred ($22,000), and Depreciation on Factory Equipment ($6,800). Adding these together gives $1,000 + $34,000 + $5,900 + $22,000 + $6,800 = $69,700.

Selected Data for Lemon Grass, Inc What Is the Total Manufacturing Overhead? A) $442,000 B) $56,000

Selected Data for Lemon Grass, Inc What Is the Total Manufacturing Overhead?
A) $442,000
B) $56,000