Mathematics, 23.06.2021 09:50 perezsamantha3oqr0za
Salah Surf Boards makes custom boards for professional surfers. The boards vary according to the
types of materials requested by customers and the amount of direct labor required for the finishing
process.
The following costs are estimated for 2005:
Number of surf boards 3,000
Direct labor hours 45,000
Direct material cost SAR 175,000
Direct labor cost SAR 900,000
Overhead cost SAR 675,000
During 2005 actual costs were:
Number of surfboards 3,300
Direct labor hours 46,300
Direct materials SAR 185,000
Direct labor SAR 850,000
Overhead SAR 664,000
Explain why job costing, and not process costing, should be used for this
organization?
Answers: 1
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Salah Surf Boards makes custom boards for professional surfers. The boards vary according to the
ty...
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