Tyare Corporation Had the Following Inventory Balances at the Beginning

question 208

Multiple Choice

Tyare Corporation had the following inventory balances at the beginning and end of May:
During May, $58,500 in raw materials (all direct materials) were drawn from inventory and used in production. The company's predetermined overhead rate was $12 per direct labor-hour, and it paid its direct labor workers $15 per hour. A total of 300 hours of direct labor time had been expended on the jobs in the beginning Work in Process inventory account. The ending Work in Process inventory account contained $7,050 of direct materials cost. The Corporation incurred $42,000 of actual manufacturing overhead cost during the month and applied $39,600 in manufacturing overhead cost.
-The actual direct labor-hours worked during May totaled:

• A) 2,800 hours
• B) 3,500 hours
• C) 3,300 hours
• D) 3,600 hours

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Definitions:

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