At the Beginning of Last Year,Tarind Corporation Budgeted $75,000 of Fixed

question 148

Multiple Choice

At the beginning of last year,Tarind Corporation budgeted $75,000 of fixed manufacturing overhead and chose a denominator level of activity of 150,000 machine-hours.At the end of the year,Tari's fixed manufacturing overhead budget variance was $2,250 favorable.Its fixed manufacturing overhead volume variance was $3,750 favorable.Actual direct labor-hours for the year were 156,250.What was Tari's total standard machine-hours allowed for last year's output?

• A) 157,500
• B) 162,000
• C) 164,000
• D) 142,500

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Definitions:

Testamentary Capacity

The legal and mental ability of an individual to make or alter a valid will, including understanding the nature of the document and the assets.

Prudent Person Rule

A legal principle requiring that a person in charge of others' assets manage those assets with the care, diligence, and judgment that a prudent person would under similar circumstances.

Uniform Principal and Income Act

A statutory framework adopted by some states to standardize how income and principal from trusts and estates are allocated.

Extraordinary Medical Treatment

Exceptional or unusual healthcare interventions used in critical or life-threatening situations.