A Small Company Has 7 Employees

question 85

Multiple Choice

A small company has 7 employees.The numbers of years these employees have worked for this company are shown as follows: Based upon this information,the mode number of years that employees have been with this company is:

• A)16
• B)2
• C)9
• D)10

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Definitions:

Direct Materials

Materials that can be directly linked to the production process and form a fundamental component of the final product.

Direct Labor-Hours

The cumulative hours that employees actively participating in manufacturing processes have worked.

Predetermined Overhead

An estimated rate used in manufacturing to allocate overhead costs to products or services based on a certain activity measure.

Predetermined Overhead

An estimated overhead cost determined before the period begins for the purpose of allocating overhead costs to products or services in a more consistent manner.