Rokosz Corporation Makes One Product and It Provided the Following

question 63

Multiple Choice

Rokosz Corporation makes one product and it provided the following information to help prepare the master budget for the next four months of operations: a. The budgeted selling price per unit is $104. Budgeted unit sales for October, November, December, and January are 6,900, 7,100, 11,300, and 15,300 units, respectively. All sales are on credit.
B. Regarding credit sales, 30% are collected in the month of the sale and 70% in the following month.
C.The ending finished goods inventory equals 20% of the following month's sales.
D. The ending raw materials inventory equals 30% of the following month's raw materials production needs. Each unit of finished goods requires 5 pounds of raw materials. The raw materials cost $2.00 per pound.
E.The direct labor wage rate is $23.00 per hour. Each unit of finished goods requires 2.5 direct labor-hours.
The estimated direct labor cost for November is closest to:

• A) $320,000
• B) $182,620
• C) $456,550
• D) $19,850

---

Definitions:

Disinhibition

The reduction of restraint through the loss of inhibition, which can result in acting out or exploring behaviors typically held in check by societal norms.

Narcissistic Personality Disorder

A mental condition characterized by a long-term pattern of exaggerated self-importance, need for admiration, and a lack of empathy for others.

Obsessive-Compulsive Personality Disorder

A personality disorder characterized by a preoccupation with orderliness, perfectionism, and control, at the expense of flexibility, openness, and efficiency.

Schizotypal Personality Disorder

A mental disorder characterized by severe social anxiety, thought disorder, paranoid ideation, derealization, transient psychosis, and often unconventional beliefs.