Skypress Company Collected $11,200 in September of 2021 for 4

question 62

Multiple Choice

Skypress Company collected $11,200 in September of 2021 for 4 months of service which would take place from October of 2021 through January of 2022.The revenue reported from this transaction during 2022 would be:

• A)$0.
• B)$8,400.
• C)$11,200.
• D)$2,800.

---

Definitions:

Departmental Predetermined Overhead Rates

These rates are calculated to allocate manufacturing overhead costs to specific departments, based on estimated or actual overhead and activity levels.

Machine-Hours

A measure of production time using machinery; used as a basis for allocating manufacturing overhead costs to products.

Machine-Hours

A measure of the total time that machines are operating during a specific period.

Direct Labor-Hours

The total amount of time spent by workers directly involved in the production of goods, measured in hours.