The Lighthouse Factory Manufactures Lighthouses,and the Managers Sell Them to the Tourists

question 71

Multiple Choice

The Lighthouse Factory manufactures lighthouses,and the managers sell them to the tourists in Rodanthe,North Carolina.A manager revealed that total revenues of lighthouses were $3,500,000.The only indirect appraisal costs associated with 15,000 hours of inspections in manufacturing were $20 per hour.The manager's report indicated that the there were no direct costs associated with the machine because there were no resources assigned to the management of quality of the machines.
Required:
Compute the total cost and the percent of revenues associated with the inspections at the Lighthouse Factory.

• A)$275,000 total cost;5.62% of revenues.
• B)$300,000 total cost;8.57% of revenues.
• C)$350,000 total cost;9.64% of revenues.
• D)$400,000 total cost;2.08% of revenues.
• E)$450,000 total cost;2.50% of revenues.

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Definitions:

Developmental Quotient

A measure used in child development to compare a child's developmental progress in several areas against typical norms.

Gesell Scale

A developmental screening tool used to assess the motor, language, adaptive, and personal-social skills of children.

Stanford-Binet

A cognitive ability assessment test that measures intelligence across five factors: fluid reasoning, knowledge, quantitative reasoning, visual-spatial processing, and working memory.

Emotional Intelligence

The ability to perceive and express emotion accurately and adaptively, to understand emotion and emotional knowledge, to use feelings to facilitate thought, and to manage emotions in oneself and others.