Koelsch Corporation has two manufacturing departments--Molding and Customizing. The company used the following data at the beginning of the year to calculate predetermined overhead rates: Molding CustomizingTotalEstimated total machine-hours (MHs) 1,000 9,000 10,000Estimated total fixed manufacturing overhead cost$4,000$25,200$29,200Estimated variable manufacturing overhead cost per MH$2.00$3.00 During the most recent month, the company started and completed two jobs--Job F and Job K. There were no beginning inventories. Data concerning those two jobs follow: Job FJob KDirect materials$12,300$8,400Direct labor cost$18,200$6,800Molding machine-hours 700 300Customizing machine-hours 3.600 5,400 Assume that the company uses a plantwide predetermined manufacturing overhead
rate based on machine-hours and uses a markup of 50% on manufacturing cost to establish selling prices. The calculated selling price for Job K is closest to:
A. $72,561
B. $24,187
C. $79,817
D. $48,374
Answer: A
You might also like to view...
What can U.S. marketers learn about mobile marketing by looking overseas?
What will be an ideal response?
If the standard deviation is 6.5, the Z value is 1.5, and the expected date of completion is 15 weeks, then the due date for project completion is ______.
A. 24.75 weeks B. 22.75 weeks C. 29.75 weeks D. 14.75 weeks
Katie is 16 years old. If she is part of the statistical majority, she reasons at ______.
a. the conventional level b. the preconventional level c. the postconventional level d. stage 2
How can personal selling reduce the costs of promoting a product or service?
a. By promoting a product to both qualified and nonqualified prospects b. By promoting undifferentiated sales messages toward prospective consumers c. By purchasing advertising and sales promotions in large amounts d. By adjusting the size of the sales force in one-person increments