Krepps Corporation Produces a Single Product

question 156

Multiple Choice

Krepps Corporation produces a single product. Last year, Krepps manufactured 20,000 units and sold 15,000 units. Production costs for the year were as follows: Sales totaled $825,000 for the year, variable selling and administrative expenses totaled $108,000, and fixed selling and administrative expenses totaled $165,000. There was no beginning inventory. Assume that direct labor is a variable cost.Under absorption costing, the ending inventory for the year would be valued at:

• A) $0
• B) $216,000
• C) $248,250
• D) $180,000

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Definitions:

Attitudes

A settled way of thinking or feeling about something, typically reflected in a person's behavior.

Diverse Workforce

A workforce that includes employees from a variety of backgrounds, including different races, ethnicities, genders, ages, religions, disabilities, and sexual orientations.

Advantages

Positive aspects or benefits associated with a particular choice, action, or situation.

Ethnocentrism

Viewing one's own culture as superior to others and using it as a benchmark to evaluate foreign cultures.