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    Question

    If with respect to the following information it is given, that % of Factory Overheads to Direct Wages = 60%. Then calculate the Factory Cost: 

    A 60000 Correct Answer Incorrect Answer
    B 70000 Correct Answer Incorrect Answer
    C 278000 Correct Answer Incorrect Answer
    D 45000 Correct Answer Incorrect Answer
    E 126000 Correct Answer Incorrect Answer

    Solution

    here % of Factory Overheads to Direct Wages = 60%. Therefore Factory Overheads = 75000*60% = 45000 150000+80000+ 80000*60% = 278000

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