Grisham Products Inc manufactures engines for small scooters. On September 30, the company had 1,050 engines in inventory. The company's policy is to maintain an ending inventory equal to 15% of next month's sales. Each engine manufactured requires 20 minutes of assembly and inspecting time at a cost of $1.50 per minute. Grisham applies overhead to engines at a rate of $2.50 per direct labor

minute. The company expects the following sales activity for the fourth quarter of the year: October 7,000 units November 14,750 units December 28,900 units What is the projected applied manufacturing overhead cost for November?
A) $408,125
B) $843,625
C) $631,375
D) $737,500


B

Business

You might also like to view...

An important implication for an individual to remember when facing a negotiating team on the other side is

A. Both of these options are correct. B. be aware the team may be aggressive in pursuing its interests and claiming value. C. Neither of these options are correct. D. avoid the trap of assuming that the other party has disproportionate power because it chose to send a team to negotiate.

Business

When deciding upon how much debt financing to employ, most practitioners would cite which of

the following as the most important influence on the level of the debt ratio? A) providing a borrowing reserve B) exploiting advantages of financial leverage C) ability to adequately meet financing charges D) maintaining desired bond rating

Business

Why has sustainable development become, perhaps, the most prominent topic of our time?

What will be an ideal response?

Business

Warrants are

A) long-term options to sell shares of the issuing firm's stock. B) fairly stable, low-risk investments. C) investments whose value is directly related to the price of the underlying stock. D) structured to sell for precisely their intrinsic value.

Business