Giants Company Had the Following Information The Overhead Applied for a Company That Uses 10,000 Machine

question 62

Multiple Choice

Giants Company had the following information: $$\begin{array} { l r } \text { Budgeted factory overhead } & \$ 80,000 \\\text { Actual factory overhead } & \$ 82,000 \\\text { Budgeted: Machine hours } & 40,000 \\\text { Actual: Machine hours } & 39,500\end{array}$$ The overhead applied for a company that uses 10,000 machine hours is _____.

• A)$20,000
• B)$20,250
• C)$20,500
• D)$28,750

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Definitions:

Total Utility

The total satisfaction received from consuming a particular quantity of goods or services.

Money Income

The complete sum of money earned by an individual or a household that includes earnings from work, salaries, and additional income sources.

Budget Line

A graphical depiction of all possible combinations of two goods that can be purchased with a given budget and prices.

Price Ratio

The ratio of the prices of two goods or services, often used in the context of trade or barter.