Kern Corporation Produces a Single Product

question 235

Multiple Choice

Kern Corporation produces a single product. Selected information concerning the operations of the company follow:
Assume that direct labor is a variable cost.
-Under variable costing,the value of the ending finished goods inventory would be:

• A) $7,200
• B) $7,650
• C) $8,000
• D) $9,700

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Definitions:

Telecommuting

A work arrangement in which employees do not commute to a central place of work, instead working remotely, often from home.

Fixed Hours

A work schedule where employees are required to work a specific number of hours and at specific times each workday.

Increased Productivity

An enhancement in the efficiency and output of work processes or employees, resulting in greater yields or improved quality with the same or fewer resources.

Flexible Working Hours

Employment arrangements that allow workers to vary their workday start and end times.