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21 May, 10:36

Vaughn Manufacturing reported total manufacturing costs of $450000, manufacturing overhead totaling $98000, and direct materials totaling $116000. How much is direct labor cost?

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  1. 21 May, 10:58
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    Direct labor cost will be equal to $236000

    Explanation:

    We have given total manufacturing cost = $450000

    Manufacturing overhead totaling is equal to $98000

    And direct material totaling is equal to $116000

    We have to find the direct labor cost

    Direct labor cost is equal to

    Direct labor cost = Total manufacturing cost - manufacturing overhead totaling - direct material totaling

    = $450000 - $98000 - $116000 = $236000

    So direct labor cost will be equal to $236000
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