Figure 11-4
the Overdale Plant Has Two Categories of Overhead $\begin{array}{ll}\text { Maintenance } & £ 120,000 \\\text { Inspection } & £ 200,000\end{array}$

question 28

Multiple Choice

Figure 11-4
The Overdale plant has two categories of overhead: maintenance and inspection. Costs expected for these categories for the coming year are as follows: $\begin{array}{ll}\text { Maintenance } & £ 120,000 \\\text { Inspection } & £ 200,000\end{array}$ The plant currently applies overhead using direct labour hours and expected capacity of 80,000 direct labour hours. The following data has been assembled for use in developing a bid for a proposed job: $\begin{array}{ll}\text { Direct materials } & £ 1,500 \\\text { Direct labour } & £ 5,000 \\\text { Machine hours } & 400 \\\text { Number of inspections } & 6 \\\text { Direct labour hours } & 750\end{array}$ Total expected machine hours for all jobs during the year are 40,000, and the total expected number of inspections is 2,500.
-Refer to Figure 11-4 above. Using activity-based costing and the appropriate cost drivers, the total cost of the potential job would be

• A)£9,230.
• B)£8,180.
• C)£2,250.
• D)£1,680.

Understand the concept of test reliability and its significance in measuring student ability or trait consistency over time.

Grasp the importance of test validity, including construct, content, and criterion-related validity, and recognize how these elements contribute to the effectiveness of tests.

Recognize the role of standardization in test administration and interpretation, ensuring fairness and accuracy in comparing scores.

Distinguish between different types of test scores, such as percentile scores and norm-based scores, and their implications for interpreting individual performance.

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Definitions:

Paid More

Referring to a situation or outcome where an individual or entity receives increased financial remuneration or compensation.

Market Economy

An economic system in which decisions regarding investment, production, and distribution are based on supply and demand, with little government intervention.

Internal Slave Trade

The trade of enslaved people within the borders of a country; in the United States, it particularly refers to the trade of slaves between states.

Wage Earners

Individuals whose primary income comes from their employment salary or wages, as opposed to investments or other sources.