Beans Corporation Uses a Job-Order Costing System with a Single

question 218

Multiple Choice

Beans Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $162,000, variable manufacturing overhead of $2.80 per direct labor-hour, and 60,000 direct labor-hours. Recently, Job K818 was completed with the following characteristics: The unit product cost for Job K818 is closest to: (Round your intermediate calculations to 2 decimal places.)

• A) $51.90
• B) $259.50
• C) $232.00
• D) $119.50

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Definitions:

Dollars

A unit of currency used in various countries, typically represented by the symbol $.

Simple Linear Regression

A statistical method that models the linear relationship between a dependent variable and one independent variable.

Standard Error of Estimate

Indicates the average distance that the observed values fall from the regression line, measuring the accuracy of predictions.

Estimated Values

Values computed from sample data that serve as approximations of population parameters.