In a Clothing Factory,clothing Items Are Sewn by Hundreds of Workers

question 30

Multiple Choice

In a clothing factory,clothing items are sewn by hundreds of workers using sewing machines and hand stitching.The sewing machines are used 80 percent of the time it takes to make the clothing items.Overhead costs relate primarily to electricity and indirect materials such as needles,bobbins,thread and thimbles.What is the most appropriate cost-allocation base for applying overhead costs to the clothing items?

• A) the number of sewing machines
• B) the number of direct labor hours
• C) the number of sewing machine hours
• D) the number of workers

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