Lunchco Inc produces picnic tables in a two-step process. Pretreated wood is cut in the Cutting Department and then the lumber is assembled into tables in the Assembly Department. It takes 30 minutes of direct labor time to cut the lumber and the standard hourly labor rate in the Cutting Department is $12 . The tables take one hour to assemble and the standard hourly rate in the Assembly
Department is $10 . If Lunchco's production budget is 20,000 . what is the company's direct labor budget?
a. $340,000
b. $320,000
c. $270,000
d. $260,000
d
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The gross profit of Larry Company for 2015 is $300,000, cost of goods manufactured is $400,000, the beginning inventories of goods in process and finished goods are $28,000 and $35,000, respectively, and the ending inventories of goods in process and finished goods are $50,000 and $70,000, respectively. The cost of goods sold of Larry Company for 2015 must have been
A) $378,000. B) $265,000. C) $278,000. D) $365,000.
Which types of quality costs are incurred after a defective product is delivered to a customer?
A) Appraisal (detection) costs B) Prevention costs C) External failure costs D) Internal failure costs
Membership in the American Institute of Certified Public Accountants (AICPA) is suspended without a hearing if a judgment of a ________ conviction is filed with the secretary of the institute
A) tort B) civil C) misdemeanor D) felony
When writing descriptions and process analyses, you should
A) Preface your text with a title that states the topic. B) Explain the product's functions or capabilities in an introduction. C) Avoid using graphics. D) All of the above. E) A and B.