Hatfield Company, Which Has Only One Product, Has Provided the Following

question 81

Multiple Choice

Hatfield Company, which has only one product, has provided the following data concerning its most recent month of operations:
$\begin{array} { | l | r | } \hline \text { Selling price } & \$ 123 \\\hline \text { Units in beginning inventory } & 0 \\\hline \text { Units produced } & 6,400 \\\hline \text { Units in ending inventory } & 300 \\\hline \text { Variable costs per unit: } & \\\hline \text { Direct materials } & \$ 45 \\\hline \text { Direct labour } & \$ 30 \\\hline \text { Variable manufacturing overhead } & \$ 1 \\\hline \text { Variable selling and administrative } & \$ 8 \\\hline \text { Fixed costs: } & \\\hline \text { Fixed manufacturing overhead } & \$ 140,800\\ \hline \text { Fixed selling and administrative } & \$ 91,500 \\\hline\end{array}$

-What was the total period cost for the month under the variable costing approach?

• A) $140,300.
• B) $140,800.
• C) $232,300.
• D) $281,100.

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Definitions:

CPT

Current Procedural Terminology, a set of medical codes used to describe diagnostics, treatments, and procedures for billing purposes.

ICD-9-CM

An outdated system used in the United States for classifying and coding diagnoses, symptoms, and procedures recorded in conjunction with hospital care, replaced by ICD-10-CM.

ICD-10-CM

ICD-10-CM stands for International Classification of Diseases, 10th Revision, Clinical Modification, a coding system used for diagnosing and classifying diseases.

Moderate Level Evaluation

An assessment of an intermediate degree of complexity, severity, or intensity, often used in educational or occupational contexts.