Department D Has Recently Purchased and Installed New Computerized Equipment

question 33

Multiple Choice

Department D has recently purchased and installed new computerized equipment for Product X.This equipment will increase the overhead costs by $2,700 and decrease labor costs (due to time savings) in Department D by $3.00 per case.Machine hours will not change.If Smelly uses a plantwide rate based on machine hours,what is the revised product cost per case for Product J?

• A)$161.50
• B)$169.30
• C)$172.00
• D)$183.36

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Definitions:

Information Technology

Information technology involves the use of computers, software, and telecommunications to create, store, exchange, and use information in various forms.

Accounts Management

The process of overseeing and managing the financial accounts and relationships of a business with its clients.

Multinational

A corporation or enterprise that operates in several countries but is managed from one (home) country.

Presentation Visual

Visual aids used during a presentation to enhance the delivery of information, including slides, charts, and graphs.