Order the answer to: Factory Direct manufactures and sells manufactured homes. Tradit

Assignment Help business-economics Order the answer to: Factory Direct manufactures and sells manufactured homes. Tradit

business-economics

Order the answer to: Factory Direct manufactures and sells manufactured homes. Tradit

Question Factory Direct manufactures and sells manufactured homes. Traditionally, it has distributed indirect costs to its three construction plants based on materials cost. Each plant builds different models and floor plans. Advances in weight and shape of plastic and wood composite components have decreased cost and time to produce a unit. Because of these advances, the CFO plans to use build-time per unit as the new basis. However, he initially wants to determine what the allocation would have been this year had build-time been the basis prior to incorporation of the new materials. The data shown represents average costs and times. Use this data and the three bases indicated to determine the allocation rates and indirect cost of $900,000 for thisyear.
Subject business-economics
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