Reference no: EM131766645

Question - Cameron Carts produces three models of push carts, the Economy, the Standard, and the Deluxe. Data on operations and costs for the month are:

                            Economy   Standard   Deluxe      Total

Machine Hours            8,000       16,000    8,000     32,000

Direct labor hours        4,000       12,000    8,000      24,000

Units Produced            8,000       4,000      1,000      13,000

Direct Material Costs $100,00     $80,00    $30,000 $210,000

Direct Labor Costs    200,00      262,000    138,000 600,000

Manufacturing Overhead Costs                                684,000

Total Costs                                                       $1,494,000

Compute the total cost for each model, assuming Cameron Carts uses:

(a) direct labor hours to allocate overhead costs;

(b) direct labor costs to allocate overhead costs; and

(c) machine hours to allocate overhead costs.