Homework Help: Managerial Accounting Help

Posted by Julie on Tuesday, December 19, 2006 at 11:41am.

Cotta Cots uses a standard cost system in which manufacturing overhead is applied to units of product on the basis of direct labor-hours (DLHs). During August, the company actually used 6,100 direct labor-hours and produced 2,500 units of product. The standard cost card for one unit of product includes the following data for manufacturing overhead:

Variable overhead: 2.5 DLHs @ $3.00 per DLH.
Fixed overhead:

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