Johnson Company developed the following data for the current year:
Beginning work in process inventory $240,000
Direct materials used $144,000
Actual overhead $288,000
Overhead applied $216,000
Cost of goods manufactured $264,000
Total manufacturing costs $720,000
Johnson Company's direct labor cost for the year is:
A. $288,000
B. $360,000
C. $72,000
D. $216,000
Correct answer-------$360,000
Working
Total manufacturing cost= Direct material used+ Direct labor +Overhead applied
So using same equation we find
Direct labor= Total manufacturing cost -Direct material used-Overhead applied
Direct labor= 720000-216000-144000=$360000
Johnson Company developed the following data for the current year: Beginning work in process inventory $240,000...