Edward,a Widower Whose Wife Died in 2011,maintains a Household for Himself

question 1

Multiple Choice

Edward,a widower whose wife died in 2011,maintains a household for himself and his daughter who qualifies as his dependent.Edward's most favorable filing status for 2014 is

• A)single.
• B)surviving spouse.
• C)head of household.
• D)married filing jointly.

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Definitions:

Factory Overhead

All indirect costs associated with manufacturing, such as utilities, rent, and maintenance, excluding direct materials and direct labor.

Cost-Reimbursement Contract

A type of contract where the purchaser agrees to pay the supplier for all actual costs incurred plus a fee or profit.

Selling Price

The amount of money consumers pay to purchase a product or service, set by sellers based on costs, market demand, and competition.

Allocation System

A method of distributing resources, costs, or revenues among various departments, products, or activities based on predetermined criteria.