Standard Gears Produces Lawn Mower Gears How Much Is the Standard Cost of Each Lawn Mower

question 46

Multiple Choice

Standard Gears produces lawn mower gears.It uses units as the cost driver for overhead.The following information was provided concerning its standard cost system: $\begin{array}{|l|l|l|l|}\hline{\text { Actual Data }} &&{\text { Budgeted and Stand ard Data }} \\\hline \text { Produced } & 12,400 \text { units } & \text { Budgeted units } & 12,500 \text { units } \\\hline \text { Materials purchased } & \begin{array}{c}4,650 \mathrm{lbs} . \text { for a total cost of } \\\$ 32,550\end{array} & \text { Budgeted materials } & 0.40 \mathrm{lb} . @ \$ 7.10 \text { per } \mathrm{lb} . \\\hline \text { Materials used } & 4,700 \mathrm{lbs} . &\text { Budgeted labor }& \begin{array}{c}36 \text { minutes } @ \$ 11.00 \text { per } \\\text { hour }\end{array} \\\hline \text { Labor worked } & 7,460 \text { hrs. costing } \$ 79,822 & \begin{array}{l}\text { Budgeted variable } \\\text { overhead }\end{array} & \$ 35,625 \\\hline \text { Actual overhead } & \begin{array}{l}\text { Fixed: } \$ 84,800 \\\text { Variable } \$ 36,100\end{array} & \begin{array}{l}\text { Budgeted fixed } \\\text { overhead }\end{array} & \$ 85,500 \\\hline\end{array}$ How much is the standard cost of each lawn mower gear?

• A)$25.59
• B)$19.13
• C)$9.44
• D)$19.28

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Definitions:

Intragroup Tension

Refers to the stress or conflict that arises within a group due to differences in opinions, goals, or personalities among its members.

Intergroup Tension

A psychological and social phenomenon where conflict or stress arises between different groups due to competition, stereotypes, miscommunication, or prejudices.

Group Territory

The physical or conceptual space that a group identifies as its own, often defended against others.

Hive Setting

A social structure or environment where individuals work collectively in a highly cooperative and efficient manner, often compared to the functionality of a beehive.