Cull Corporation Uses a Job-Order Costing System with a Single

question 143

Multiple Choice

Cull Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $462,000, variable manufacturing overhead of $2.20 per machine-hour, and 60,000 machine-hours. The company has provided the following data concerning Job X455 which was recently completed: If the company marks up its unit product costs by 20% then the selling price for a unit in Job X455 is closest to: (Round your intermediate calculations to 2 decimal places.)

• A) $258.32
• B) $190.80
• C) $39.72
• D) $238.32

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Definitions:

Affiliate

A business enterprise located in one state that is directly or indirectly owned and controlled by a company located in another state. Also called foreign subsidiary.

Issuer

An issuer is an entity that releases securities into the market for investors to purchase, often to raise capital for the entity's operations or projects.

Control

refers to having the power to direct the management and policies of a company, often through the ownership of a majority of shares.

Intrastate Issues

Matters or disputes confined within the borders of a single state, not involving or crossing state lines.