Luchini Corporation Makes One Product and It Provided the Following

question 26

Multiple Choice

Luchini Corporation makes one product and it provided the following information to help prepare the master budget for the next four months of operations:The budgeted selling price per unit is $111. Budgeted unit sales for April, May, June, and July are 7,100, 10,100, 13,300, and 14,000 units, respectively. All sales are on credit.Regarding credit sales, 40% are collected in the month of the sale and 60% in the following month.The ending finished goods inventory equals 10% of the following month's sales.The ending raw materials inventory equals 30% of the following month's raw materials production needs. Each unit of finished goods requires 5 pounds of raw materials. The raw materials cost $5.00 per pound.Regarding raw materials purchases, 40% are paid for in the month of purchase and 60% in the following month.The direct labor wage rate is $18.00 per hour. Each unit of finished goods requires 2.9 direct labor-hours.Variable manufacturing overhead is $7.00 per direct labor-hour. Fixed manufacturing overhead is zero.The budgeted accounts receivable balance at the end of May is closest to:

• A) $747,000
• B) $448,440
• C) $672,660
• D) $1,121,100

Understand the impact of cognitive distortions on mental health and how cognitive therapies address them.

Discuss the role and importance of the client-therapist relationship in psychotherapy.

Explain the process and benefits of systematic desensitization, especially in the treatment of phobias.

Understand the implications of physical side effects associated with psychiatric medication.

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Definitions:

Market Price

The current price at which a good or service can be bought or sold on the market.

Marginal Decision Rule

A principle stating that an action should be taken if, and only if, the marginal benefit is greater than or equal to the marginal cost.

Economic Profit

The measure of difference between total financial returns and comprehensive charges, taking into both explicit and silent costs.

Market Price

The existing price point for transactions involving an asset or service in the market.