MrFoxhound Works at a Manufacturing Plant That Makes Balloons for Holiday

question 65

Multiple Choice

Mr.Foxhound works at a manufacturing plant that makes balloons for holiday parades.He earns $30 per hour for straight-time and $50 per hour for overtime.One week he worked 46 hours,which included 6 hours of overtime,and 4 hours of idle time caused by a shortage of materials to make the balloons.
Required:
Compute Mr.Foxhound's total compensation for the week;the amount of compensation reported as direct manufacturing labor;and the amount of compensation that would be reported as manufacturing overhead.

• A)$1,200;$1,100;$220
• B)$1,250;$1,200;$160
• C)$1,500;$1,260;$240
• D)$1,600;$1,280;$260
• E)$1,750;$1,300;$280

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Definitions:

GDP Deflator

The GDP deflator is an economic metric that converts the current prices of all goods and services produced in an economy to constant prices, allowing for inflation adjusted comparisons.

Real GDP

The calculation of a nation's economic production taking into account adjustments for variations in prices and inflation, revealing the actual value of goods and services generated.

Percentage Change

A mathematical calculation that represents the degree of change over time as a proportion of the original value, often used to measure growth or decline.

GDP Deflator

A gauge for pricing of all new, native-produced, conclusive goods and services within an economy, applied to revise nominal GDP in order to compute real GDP.