The Cosmo Corporation Manufactures and Assembles Office Chairs

question 114

Multiple Choice

The Cosmo Corporation manufactures and assembles office chairs.Cosmo uses an activity-based costing system to allocate all manufacturing conversion costs.Each chair consists of 15 separate parts totaling $125 in direct materials,and requires 2.0 hours of machine time to produce.Additional information follows:

What is the cost of machining per chair?

• A)$4.00
• B)$30.00
• C)$15.50
• D)$5.50

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Definitions:

Monads

In philosophy, especially in Leibniz's metaphysics, indivisible and simple entities that are the ultimate units of reality.

Leibniz

Gottfried Wilhelm Leibniz was a German polymath and philosopher best known for his development of differential and integral calculus independently of Isaac Newton and for his optimistic philosophical system.

Blind

Lacking the ability to see due to physiological or neurological factors affecting the eyes or visual pathways.

Arthur Schopenhauer

A German philosopher best known for his book, "The World as Will and Representation," in which he characterizes the phenomenal world as the product of a blind, insatiable, and malignant metaphysical will.