Comans Corporation Has Two Production Departments, Milling and Customizing

question 99

Multiple Choice

Comans Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job A319. The following data were recorded for this job:
If the company marks up its manufacturing costs by 10% then the selling price for Job A319 would be closest to: (Round your intermediate calculations to 2 decimal places.)

• A) $3,537
• B) $3,215
• C) $2,923
• D) $292

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Definitions:

Wilcoxon Rank Sum Statistic

A nonparametric test used to determine if there are significant differences between two sets of observations.

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A measure of how much a fertilizer increases plant growth and yield compared to plants not receiving the fertilizer.

Friedman Test

A non-parametric test used to detect differences in treatments across multiple test attempts.

Kruskal-Wallis Test

A nonparametric statistical test used to determine if there are statistically significant differences between two or more groups of an independent variable on a continuous or ordinal dependent variable.