First Class, Inc

question 14

Multiple Choice

First Class, Inc., expects to sell 22,000 pool cues for $12 each. Direct materials costs are $3, direct manufacturing labor is $4, and manufacturing overhead is $0.84 per pool cue. The following inventory levels apply to 2019:

On the 2019 budgeted income statement, what amount will be reported for sales?

• A) $277,200
• B) $264,000
• C) $396,000
• D) $409,200

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