Figure 5-5

question 180

Multiple Choice

Figure 5-5.Brillant Design Company makes custom chairs for individual customers. On October 1, there was one job in process, Job 243, with a cost of $1,300. Jobs 244, 245, and 246 were started during the month of October. Data on costs added during the month are as follows:
Overhead is applied to production at the rate of 70% of direct labor cost. Job 245 was completed on October 14 and the client was billed at cost plus 55%. All other jobs remained in process.
-Refer to Figure 5-5. If selling and administrative expense for the month of October equaled $ 2,000, what is operating income for the month of October?

• A) $14,399.50
• B) $3,109.50
• C) $5,109.50
• D) $2,000.00

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Numerical Connectors

Terms or symbols used to link numbers in a sequence or to show relationships between them.

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Referring to services or transactions that are provided or carried out for a set charge or fee.

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The process of conducting research relevant to legal matters using the internet and digital databases.

Time

The ongoing progression of events from past, through present, to future; a dimension in which events occur in an apparently irreversible sequence.