Business
Business, 27.02.2020 20:02, ariloveshorses

Smythe Co. makes furniture. The following data are taken from its production plans for the year.

Direct labor costs $5,680,000
Hazardous waste disposal costs 620,000

Chairs Tables
Expected production 207,000 units 21,000 units
Direct labor hours required 272,000 DLH 15,800 DLH
Hazardous waste disposed 400 pounds 400 pounds

Required:

Which method is better for assigning costs to each product?
i. Assignment based on the number of pounds
ii. Assignment based on direct labor hours

answer
Answers: 3

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Smythe Co. makes furniture. The following data are taken from its production plans for the year.

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