Benson Inc During 2013, Benson Purchased $1,160,000 of Raw Materials, Incurred Direct

question 120

Multiple Choice

Benson Inc.'s accounting records reflect the following inventories: $$\begin{array} { l c c } & \text { Dec. 31,2012 } & \text { Dec. 31,2013 } \\\text { Raw materials inventory } & \$ 80,000 & \$ 64,000 \\\text { Work in process inventory } & 104,000 & 116,000 \\\text { Finished goods inventory } & 100,000 & 92,000\end{array}$$ During 2013, Benson purchased $1,160,000 of raw materials, incurred direct labor costs of $200,000, and incurred manufacturing overhead totaling $128,000.
- How much is total manufacturing costs incurred during 2013 for Benson?

• A)$1,392,000
• B)$1,404,000
• C)$1,388,000
• D)$1,400,000

Interpret the significance of profit, cash flows, and asset management in a firm's financial health.

Evaluate the firm's financial performance using ratio analysis.

Comprehend the relationship between sales, inventory, and the financial ratios.

Understand the significance of non-cash transactions and their reflection in financial statements.

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Definitions:

KFC in China

Refers to the successful expansion and adaptation of the Kentucky Fried Chicken (KFC) brand within the Chinese market, showcasing a model of international business strategy.

Differentiating

The process of making a product or service stand out from its competitors by emphasizing unique features or values.

Traditional Chinese Values

The core principles and moral standards that have historically guided the behavior and societal practices in Chinese culture.

Organization's Culture

An assembly of mutual norms, values, and beliefs directing the behavior, emotions, and thoughts of workers in a business.