Freiling Corporation Manufactures One Product

question 124

Multiple Choice

Freiling Corporation manufactures one product. It does not maintain any beginning or ending Work in Process inventories. The company uses a standard cost system in which inventories are recorded at their standard costs. There is no variable manufacturing overhead. The standard cost card for the company's only product is as follows: During the year, the company assigned direct labor costs to work in process. The direct labor workers (who were paid in cash) worked 14,890 hours at an average cost of $22.80 per hour.Assume that all transactions are recorded on the below worksheet, which is similar to the worksheet shown in your text except that it has been divided into two parts so that it fits on one page. The beginning balances in each of the accounts have been given. PP&E (net) stands for Property, Plant, and Equipment net of depreciation.
When recording the direct labor costs, the Cash account will increase (decrease) by:

• A) $339,492
• B) ($318,780)
• C) $318,780
• D) ($339,492)

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Definitions:

Wilhelm Wundt

Often recognized as the father of experimental psychology, he established the first laboratory dedicated solely to psychological research in Leipzig, Germany, in 1879.

Subjective Experiences

Personal perceptions and feelings that are unique to an individual and cannot be exactly measured or fully understood by others.

Lab Animals

Animals used in scientific research to study biological processes, drug effects, disease mechanisms, and other phenomena relevant to human health and behavior.

Titchener--Structuralism

A theory in psychology, pioneered by Edward Titchener, that aimed to describe the structure of the mind using introspection, focusing on different components of consciousness.