Milan Manufacturing Company Has Identified Three Cost Pools to Allocate

question 176

Multiple Choice

Milan Manufacturing Company has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year:

The accounting records show the Mossman Job consumed the following resources:

If direct labor-hours are considered the only overhead cost driver, what is the single cost driver rate for Milan?

• A) $1.05 per direct labor-hour
• B) $0.59 per direct labor-hour
• C) $0.95 per direct labor-hour
• D) $1.71 per direct labor-hour

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Definitions:

Sexual harassment

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature that affects an individual's employment, interferes with work performance, or creates a hostile work environment.

Disparate impact

A theory in anti-discrimination law that occurs when policies, practices, rules, or other systems that appear to be neutral result in a disproportionate impact on protected groups.

Disparate treatment

A legal doctrine under U.S. employment law that refers to intentional discrimination against individuals on the basis of race, color, religion, sex, or national origin.

Employment practices

Policies, procedures, and actions related to the management of employees within an organization, including hiring, training, promotion, and termination.