Which of the following statements is correct in describing manufacturing overhead?
A. Manufacturing overhead consists of all manufacturing cost except for prime cost.
B. Manufacturing overhead when combined with direct labor cost forms prime cost.
C. Manufacturing overhead when combined with direct materials cost forms conversion cost.
D. Manufacturing overhead is a period cost.
Answer: A
You might also like to view...
Lee, the CEO of Opal Inc., a digital media startup, holds a meeting with his employees, telling them he wants them to put 100 percent effort into their daily work. He adds that in every quarter the company meets its sales targets, employees will receive a $500 bonus. In this scenario, Lee's actions are most likely to improve
A. continuous learning. B. information systems. C. ethical behavior. D. employee engagement. E. critical thinking.
Why have checks and balances been built into the U.S. Constitution?
A. to keep a check on the number and frequency of amendments made to the Constitution B. to ensure that the judiciary is not biased or corrupt C. to prevent any one of the three branches of the government from becoming too powerful D. to ensure that people of all races and ethnicities are uniformly represented
In a 0-1 integer programming problem involving a capital budgeting application (where xj = 1, if project j is selected, xj = 0, otherwise) the constraint x1 - x2 ? 0 implies that if project 2 is selected, project 1 cannot be selected
Indicate whether this statement is true or false.
Dobles Corporation has provided the following data from its activity-based costing system:Activity Cost PoolTotal CostTotal ActivityAssembly$228,06018,000machine-hoursProcessing orders$34,0681,200ordersInspection$125,5601,720inspection-hours??The company makes 420 units of product D28K a year, requiring a total of 460 machine-hours, 80 orders, and 10 inspection-hours per year. The product's direct materials cost is $48.96 per unit and its direct labor cost is $25.36 per unit.According to the activity-based costing system, the average cost of product D28K is closest to:
A. $74.32 per unit B. $93.60 per unit C. $95.34 per unit D. $89.93 per unit