Figure 5-6
Kramer, Inc During April, 25,000 Units Were Completed and Transferred to the Two

question 12

Multiple Choice

Figure 5-6
Kramer, Inc., manufactures a product that passes through two processes: mixing and molding. All manufacturing costs are added uniformly in the mixing department.
Information for the mixing department for April follows: Work in progress, April 1:
$\begin{array}{lr}\text { Units }(35 \% \text { complete) } & 5,000 \\\text { Direct materials } & £ 24,000 \\\text { Direct labour } & £ 30,000 \\\text { Overhead } & £ 10,000\end{array}$ During April, 25,000 units were completed and transferred to the molding department. The following costs were incurred by the mixing department during April: $\begin{array}{lr}\text { Direct materials } & £ 90,000 \\\text { Direct labour } & 120,000 \\\text { Overhead } & 30,000\end{array}$ Two thousand five hundred (2,500) units that were 80 per cent complete remained in mixing at April 30.
-Refer to Figure 5-6. Kramer's cost of goods transferred to the molding department during April would be

• A)£210,000.
• B)£261,050.
• C)£281,500.
• D)£294,000.

Understand segmented income statements and the contribution format.

Apply costing concepts to various scenarios in manufacturing and selling conditions.

Analyze the operational performance of different divisions within a corporation.

Understand the concept and calculation of unit product cost under super-variable costing.

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Definitions:

Social Disapproval

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Drugs designed to improve symptoms of depressive disorders by altering chemical levels in the brain, particularly serotonin and norepinephrine.

Dopamine

A neurotransmitter that affects the ability to perceive pleasure, voluntary movement, and learning and memory; it is involved in Parkinson’s disease and appears to play a role in schizophrenia.

Norepinephrine

A neurotransmitter whose action is similar to that of the hormone epinephrine and that may play a role in depression.