The Records of Family Manufacturing Show the Following Information The Company Uses a Predetermined Overhead Rate to Apply Overhead

question 116

Multiple Choice

The records of Family Manufacturing show the following information: $\begin{array}{lr}\text { Estimated manufacturing overhead } & \$ 690,000 \\\text { Estimated machine hours } & 46,000 \\\text { Actual machine hours worked } & 50,000\\\\\text { Actual costs incurred: } & \\\text { Indirect materials } & \$ 170,000 \\\text { Indirect labor } & 230,000 \\\text { Utilities } & 120,000 \\\text { Insurance } & 100,000 \\\text { Rent } & 80,000\end{array}$
The company uses a predetermined overhead rate to apply overhead. Manufacturing overhead applied is

• A)$750,000.
• B)$700,000.
• C)$690,000.
• D)$648,000.

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Definitions:

Origins

The initial starting points or sources from which something arises, such as the beginnings of a supply chain or product development process.

Destinations

The end points or locations to which something is sent or where something is intended to go, often used in the context of transportation, logistics, or travel.

Optimal Solution

The best possible outcome or decision that maximizes or minimizes the desired objective within given constraints.

Transportation Model

A type of optimization and linear programming problem that concerns the allocation of resources to transport goods from multiple sources to multiple destinations in the most efficient and cost-effective manner.