XYZ Corporation Produced 300 Units of Output but Sold Only

question 31

Multiple Choice

XYZ corporation produced 300 units of output but sold only 275 of the units it produced.The average cost of production for each unit of output produced was $100.Each of the 275 units sold was sold for a price of $95.Total profit for the XYZ corporation would be

• A) -$3,875.
• B) $26,125.
• C) $28,500.
• D) $30,000.

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Definitions:

Indirect Labour Costs

Wages paid for labor that cannot be directly linked to specific products or services, such as maintenance staff or supervisors.

Work in Process

Items that are in the production process but not yet completed; a category of inventory.

Job Cost Sheets

Job cost sheets are detailed records used in cost accounting to track the expenses associated with a specific job or project.

Labour Time Sheet

A record detailing the amount of time an employee spends on various tasks, used for payroll and costing purposes.