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Sheffield Corp. developed the following data for the current year: Beginning work in process inventory $ 216000 Direct materials used 208000 Actual overhead 176000 Overhead applied 184000 Cost of goods manufactured 990000 Total manufacturing costs 926000 How much is Sheffield Corp.'s direct labor cost for the year?

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ayokenny2001

Answer:

$534,000

Explanation:

Given that;

Direct materials used = $208,000

Overhead applied = $184,000

Total manufacturing costs = $926,000

We know that the total manufacturing cost is calculated as seen below.

Total manufacturing cost

= Direct materials used + Direct labor + Allocated overhead

$926,000 = $208,000 + Direct labor + $184,000

Direct labor = $926,000 - $208,000 - $184,000

Direct labor = $534,000

Therefore, Sheffield Corp's direct labor cost for the year is $534,000

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