I only need to know how to Calculate the Variable Overhead for; Marcy, Tina, Car
ID: 2503365 • Letter: I
Question
I only need to know how to Calculate the Variable Overhead for; Marcy, Tina, Cari, Lenny, Sewing Kit for this question i have provide the begining of the calculation below the question, Please I need to know how to calculated I do have the answer (Marcy 1.6 and so on.). Please be make sure you can explained clearly.
The Brandilyn Toy Company manufactures a line of dolls and a doll dress sewing kit. Demand for the dolls is increasing, and management requests assistance from you in determining the best sales and production mix for the coming year. The company has provided the following data:
Explanation / Answer
Variable Overhead = Direct Labour Hour per unit per hour *4
Variable overhead costs are $ 4.00 per direct labor-hour. (Given)
Direct Materials 3.50 2.30 4.50 3.10 1.50 Direct Labour (is given for each one) 4.80 3.00 8.40 6.00 2.40 Variable Overhead (0.4*4) (a*4) 1.60 1.00 2.80 2.00 0.80 Total Variable Cost
9.90 6.30 15.70 11.10 4.70 Contribution Margin (35-9.90) (b) 25.10 17.70 6.30 6.90 9.30 Contribution Margin per DLH (a/b) 62.75 70.80 9.00 13.80 46.50