From the Following Information for BlueInks Corporation,compute the Rate on Return

question 44

Multiple Choice

From the following information for BlueInks Corporation,compute the rate on return of assets.

• A)20.90%
• B)25.06%
• C)22.89%
• D)18.73%

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Definitions:

Machine-Hours

A measure of production output or activity level based on the total hours machines are operating.

Total Manufacturing Cost

The cumulative expense of producing goods, including labor, materials, and overhead costs.

Predetermined Overhead Rate

A rate used to apply manufacturing overhead to products or job orders, calculated before the production period begins.

Machine-Hours

A measure of the amount of time machines are run in the production process, used in allocating costs to products.