Fill in the Table, Assuming Simple Interest }">$\text { cellpadding="0" cellspacing="0" width }=" 69 \% \text { " border="1"> }$

question 46

Multiple Choice

Fill in the table, assuming simple interest. }">$\text { cellpadding="0" cellspacing="0" width }=" 69 \% \text { " border="1"> }$

$\begin{array}{ccccc}I & P & r & t & \text { Future } \\\text { Interest } & \text { Principal } & \text { Rate } & \text { Time } & \text { Value }\end{array}$

• A) \(\$ 500 ; \$ 40\)
• B) \(\$ 320 ; \$ 360\)
• C) \(\$ 3.20 ; \$ 43.20\)
• D) \(\$ 500 ; \$ 580\)
• E) \(\$ 500 ; \$ 540\)

---

Definitions:

Predetermined Overhead Rate

This is a rate calculated before the accounting period begins, used to allocate manufacturing overhead costs to products.

Machine-Hours

A measure of the amount of time machinery is in operation, commonly used as a basis for allocating machine related costs to products.

Manufacturing Overhead

All indirect costs associated with the production process, including equipment maintenance, utilities, and factory management salaries.

Predetermined Overhead Rate

A rate used to allocate manufacturing overhead costs to products, based on a planned level of activity.