Kellems Corporation manufactures one product. It does not maintain any beginning or ending Work in Process inventories. The company uses a standard cost system in which inventories are recorded at their standard costs and any variances are closed directly to Cost of Goods Sold. The company has provided the following information: Actual sales 17,100unitsActual selling price$26.60per unitStandard cost$21.20per unitActual selling and administrative expenses$60,000 The company does not have any variable manufacturing overhead costs and it recorded the following variances during the year: Materials price variance$2,340FMaterials quantity variance$500ULabor rate variance$942FLabor efficiency variance$6,300FFixed manufacturing overhead budget variance$16,600FFixed manufacturing
overhead volume variance$7,980UThe adjusted Cost of Goods Sold after closing all of the variances to Cost of Goods Sold will be closest to:
A. $380,222
B. $344,818
C. $472,562
D. $362,520
Answer: B
You might also like to view...
Which of the following statements is true about on-demand marketing?
a. It requires firms to focus on the internal rather than the external business environment. b. It gives maximum emphasis to aggressive personal selling strategies. c. It is aimed at enhancing customer relationships. d. It is used by sales-oriented firms.
You can tell that group member Clyde is a social loafer when he
A) naps during lunch break. B) asks questions before proceeding with a difficult task. C) asks for more privileges than do the other group members. D) lets the other group members do most of his work.
Given the network in Figure 11-1, the time to complete those activities on the critical path is expected to be
A) 20. B) 22. C) 25. D) 26. E) None of the above
The pricing of Origins makeup, which is priced considerably higher than brands such as Cover Girl, Revlon, and Maybelline, is used to communicate ____, which is the company's primary pricing objective.
A. market share B. product quality C. status quo D. profitability E. cash flow