Tyare Corporation Had the Following Inventory Balances at the Beginning

question 200

Multiple Choice

Tyare Corporation had the following inventory balances at the beginning and end of May: During May, $58,500 in raw materials (all direct materials) were drawn from inventory and used in production. The company's predetermined overhead rate was $12 per direct labor-hour, and it paid its direct labor workers $15 per hour. A total of 300 hours of direct labor time had been expended on the jobs in the beginning Work in Process inventory account. The ending Work in Process inventory account contained $7,050 of direct materials cost. The Corporation incurred $42,000 of actual manufacturing overhead cost during the month and applied $39,600 in manufacturing overhead cost.The direct materials cost in the May 1 Work in Process inventory account totaled:

• A) $9,900
• B) $5,400
• C) $9,000
• D) $4,500

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Definitions:

Less Than Truckload

A shipping method for transporting small freight loads that do not require the full space of a truck.

Demand Information

Data regarding current and future customer demand that is used for planning and optimizing supply chain activities.

Incentive Obstacles

Factors that hinder the effectiveness or implementation of incentive programs designed to motivate specific behaviors or outcomes.

Information Processing Obstacle

Challenges faced in capturing, processing, storing, and disseminating information that can impede efficient decision-making and operations in an organization.