Cull Corporation Uses a Job-Order Costing System with a Single

question 131

Multiple Choice

Cull Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $462,000, variable manufacturing overhead of $2.20 per machine-hour, and 60,000 machine-hours. The company has provided the following data concerning Job X455 which was recently completed:

-If the company marks up its unit product costs by 20% then the selling price for a unit in Job X455 is closest to:

• A) $258.32
• B) $190.80
• C) $39.72
• D) $238.32

---

Definitions:

Standard Error

A measure of the variability or precision of the sample mean estimate of a population mean, reflecting how much the sample mean would vary if the study were repeated.

Sampling Distribution

Chance distribution specifics for a statistic based on a random sampling method.

Sample Mean

The average of the observations in a sample, used as an estimate of the population mean.

Sampling Distribution

The distribution pattern of a statistic that emerges from analyzing a large collection of samples taken from a specified group.