Macor Manufacturing Assigns Overhead Based on Machine Hours

question 91

Multiple Choice

Macor Manufacturing assigns overhead based on machine hours.Department R logs 500 machine hours and Department W shows 400 machine hours for the period.The overhead rate is $7 per machine hour.What will the entry to assign overhead include?

• A)a debit to Manufacturing Overhead for $6,300
• B)a credit to Work in Process-Department R for $3,500
• C)a debit to Work in Process-Department W for $2,800
• D)a credit to Manufacturing Overhead for $6,300

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Definitions:

Utility Function

A mathematical representation that ranks an individual's preference for different combinations of goods or outcomes.

Budget Constraint

The limit on the consumption bundles that a consumer can afford to purchase, based on their income and the prices of goods and services.

Income

Income that is earned from work or investments, which is typically received at regular intervals.

Nuts

Edible seeds or fruits with a hard outer shell, often consumed as snacks or used in cooking.