The total prime cost for company XYZ was twice the conversion cost. The direct labor cost was $10,000 while the manufacturing overhead cost was $25,00O. How much was the direct materials cost ($)? O a. 60,000 O b. 50,000 O c. 70,000 O d. 45,000 O e. None of the given answers

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter6: Activity-based, Variable, And Absorption Costing
Section: Chapter Questions
Problem 14EA: Cool Pool has these costs associated with production of 20,000 units of accessory products: direct...
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The total prime cost for company XYZ was twice the
conversion cost. The direct labor cost was $10,000 while
the manufacturing overhead cost was $25,000. How
much was the direct materials cost ($)?
O a. 60,000
O b. 50,000
O c. 70,000
O d. 45,000
e. None of the given answers
Transcribed Image Text:The total prime cost for company XYZ was twice the conversion cost. The direct labor cost was $10,000 while the manufacturing overhead cost was $25,000. How much was the direct materials cost ($)? O a. 60,000 O b. 50,000 O c. 70,000 O d. 45,000 e. None of the given answers
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