A Work Center Had Actual Input of 280 Hours and Actual

question 68

Multiple Choice

A work center had actual input of 280 hours and actual output of 290 hours. What is the change in backlog?

• A) 10
• B) -10
• C) 0
• D) 1.037
• E) Unable to determine with the given information

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Definitions:

Merchandise Inventories

Goods that a company holds for the purpose of sale in the ordinary course of business, including finished products, work in progress, and raw materials.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including material and labor expenses.

Monthly Expenses

Recurring costs or outlays that occur every month, such as rent, utilities, payroll, and other operational charges.

Master Budget

A comprehensive financial plan that includes both operational and financial budgets, representing a company’s overall plan of action for a future period.