Everlast Co

question 85

Multiple Choice

Everlast Co.manufactures a variety of drill bits.The company's plant is partially automated.The budget for the year includes $432,000 payroll for 4,800 direct labor-hours.Listed below is cost driver information used in the product-costing system:
A current product order has the following requirements:
Using ABC,how much total overhead is assigned to the order?

• A)$42,160.
• B)$43,740.
• C)$44,268.
• D)$44,432.
• E)$45,993.

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Definitions:

Clear

in an economic or financial context often means to settle a transaction or complete a trade or payment process.

Federal Reserve's Assets

These are financial assets held by the Federal Reserve Bank, including government securities, mortgage-backed securities, and loans to banks.

Excess Reserves

The capital reserves held by a bank or financial institution in excess of what is required by regulators, creditors, or internal controls.

Required Reserve Ratio

The fraction of deposits that a bank is required by regulation to hold in reserve, not loaning them out, ensuring banks can meet their depositor's demands.