A-LevelAccountingTraditional costing methods9706/12 · Feb/Mar 2023 · Q271 Mark

The following data applies to the budget for a job. direct materials $4800 direct labour $2200 machine hours 240 Direct labour is employed at an hourly rate of $11. Production overheads are charged at $25 per direct labour hour and an amount for selling and distribution overhead is calculated at 20% of factory cost. What is the total cost of the job?

A$8400

B$12000

C$14400

D$15600

✓ Correct answer

C: $14400

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Topic: Traditional costing methods, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source: A-Level Accounting, Feb/Mar 2023 Paper 1 Variant 2, question 27.

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