Janicki Corporation Has Two Manufacturing Departments--Machining and Customizing

question 131

Multiple Choice

Janicki Corporation has two manufacturing departments--Machining and Customizing. The company used the following data at the beginning of the year to calculate predetermined overhead rates: During the most recent month, the company started and completed two jobs--Job A and Job J. There were no beginning inventories. Data concerning those two jobs follow:
Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours and uses a markup of 50% on manufacturing cost to establish selling prices. The calculated selling price for Job J is closest to: (Round your intermediate calculations to 2 decimal places.)

• A) $71,983
• B) $65,439
• C) $43,626
• D) $21,813

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Definitions:

Unemployment

The condition of being without a job while actively searching for employment.

Market Wage Rate

The prevailing rate of pay for given jobs in a labor market, determined by the supply of and demand for labor.

Work Environment

The physical and psychological conditions under which employees work, including factors like safety, facilities, and interpersonal relationships.

Leisure

Time free from the demands of work or duty, where individuals can choose activities of personal interest and relaxation.