Solve the Problem. -During the First Five Months of the Year, Len Earned

question 55

Multiple Choice

Solve the problem.
-During the first five months of the year, Len earned commissions of $3810, $2330, $3380, $2310, and $3420. If Len must have average monthly earnings of at least $3130 in order to qualify for retirement benefits, what must he earn in the sixth month in order to qualify for benefits?

• A)at least $3130
• B)at least $3050
• C)at least $3063
• D)at least $3530

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Definitions:

Production Budget

An estimate of the total units that must be produced in a given period to meet both sales and inventory needs.

Direct Materials Budget

A financial plan that estimates the raw materials needed to meet production targets and the expected costs of those materials.

Materials Per Unit

The quantity of materials required to manufacture a single unit of product, often used in costing and budgeting.

Total Pounds Needed

A quantity measurement usually used in manufacturing or production to indicate the total weight of material required.