Asume youre a product manager for a large profit-seeking

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Assume you're a product manager for a large, profit-seeking, manufacturing firm. Specifically, you manage 'product #3'. Information about the firm's product costs is provided below:

	Product #1	Product #2	Product #3
Direct Materials	$140,000	$ 70,000	$90,000
Direct Labor	$210,000	$130,000	$60,000
Overhead	?	?	?

The three products use 4,200; 3,250; and 3,000 direct labor hours (respectively). Overhead costs are determined based on a single cost driver. Which of the following cost drivers would you select?

a. Direct Materials Dollars -

b. Direct Labor Dollars -

c. Total Direct Costs -

d. Direct Labor Hours -

e. Machine Hours -

Reference no: EM13389495

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