If a Company Uses Traditional Costing and Only One Cost

Multiple Choice

If a company uses traditional costing and only one cost driver, what would be the correct order with which costs are considered in calculating overall product cost?

A) Manufacturing overhead applied with a cost driver + Direct Materials - Direct Labor
B) Manufacturing overhead applied with a cost driver + Direct Materials + Direct Labor
C) Total manufacturing overhead - Direct Materials - Direct Labor
D) Total Manufacturing Overhead (MOH) + Direct Materials + Direct Labor