Rest Well Hotel Orally Ordered 1,000 Blankets Monogrammed with Its

question 25

True/False

Rest Well Hotel orally ordered 1,000 blankets monogrammed with its initials,RWH,from TriColor Textiles.TriColor had just finished monogramming the blankets when Rest Well called and canceled the order.TriColor will be able to enforce the agreement even though there was no writing.

---

Definitions:

Raw Materials

The basic materials that are processed or used in the manufacturing of goods or finished products.

Predetermined Overhead Rate

A calculated figure used for assigning the estimate of manufacturing overhead costs to individual units of production, based on a set rate determined at the beginning of an accounting period.

Direct Materials Cost

The total cost of all the raw materials used in the production of a product or service.

Machine-hours

A measure of the amount of time a machine is operated, used in calculating manufacturing costs and allocating expenses based on machine usage.