During 2013, Durham Manufacturing Expected Job No

question 105

Multiple Choice

During 2013, Durham Manufacturing expected Job No.51 to cost $300,000 of overhead, $500,000 of materials, and $200,000 in labor.Durham applied overhead based on direct labor cost.Actual production required an overhead cost of $290,000, $550,000 in materials used, and $220,000 in labor.All of the goods were completed.What amount was transferred to Finished Goods?

• A)$1,070,000
• B)$1,100,000
• C)$1,000,000
• D)$1,060,000

---

Definitions:

Public Good

Goods or services that are made available to the entire society for free, by the government or a private organization or individual, not aimed at generating profit.

Common Resource

A type of good that is rivalrous but non-excludable, meaning its use by one individual diminishes its availability for others, but no one can be effectively excluded from using it.

Overuse

Utilization of a resource or service to an extent that exceeds its sustainable capacity.

Nonrival

A property of certain goods where one person's consumption does not diminish the availability of the good for others.