Here Is the Distribution of Workers a Restaurant Keeps on Staff

question 23

Multiple Choice

Here is the distribution of workers a restaurant keeps on staff during a 1-hour shift.
-If the workers are paid $10/hour, what is the expected long-term cost of a 1-hour shift?

• A) $45
• B) none of these
• C) $180
• D) $4.65
• E) $46.50

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Definitions:

Work in Process Inventory

Goods that are in the process of being manufactured but are not yet complete, representing a component of a manufacturer's inventory.

Applied Overhead

Applied overhead refers to the portion of overhead costs allocated to specific products or departments based on estimated cost drivers.

Direct Material Cost

The expense of raw materials and components that are directly incorporated into a finished product.

Custom Machinery

Specialized equipment designed and built to meet unique production or operational requirements of a business.