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A company manufactures mirrors. Last​ month's costs​ were:Direct materials​$86,000Direct labor​149,000Manufacturing Overhead​159,000What were the conversion costs for the​ month?

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facundobuzzetti

Answer:

Conversion Cost= $308,000

Explanation:

Giving the following information:

Last​ month's costs​ were:

Direct materials​ $86,000

Direct labor​ 149,000

Manufacturing Overhead​ 159,000

To calculate the conversion costs, we need to use the following formula:

Conversion cost= direct labor + allocated overhead

CC= 149,000 + 159,000= $308,000

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