The Bus Company Uses a Job-Order Costing System The Direct Labour Wage Rate Is $10 Per Hour

question 29

Multiple Choice

The Bus Company uses a job-order costing system. The following information was recorded for September: $\begin{array}{l}\text { Added During September }\\\begin{array} { | l | r | r | r | } \hline \text { Job Number } & \begin{array} { r } \text { September 1 } \\\text { Inventory }\end{array} & \text { Direct Materials } & \text { Direct Labour } \\\hline 1 & \$ 1,000 & \$ 300 & \$ 200 \\\hline 2 & 1,400 & 250 & 300 \\\hline 3 & 500 & 1,500 & 150 \\\hline 4 & 750 & 4,000 & 400 \\\hline\end{array}\end{array}$ The direct labour wage rate is $10 per hour. Overhead is applied at the rate of $5 per direct labour hour. Jobs 1, 2, and 3 have been completed and transferred to finished goods. Job 2 has been delivered to the customer.
-What is the cost of goods manufactured for September?

• A) $10,750.
• B) $11,275.
• C) $5,925.
• D) $7,625.

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Definitions:

Deforested Area

Regions where trees have been cut down and removed, leading to loss of forest cover.

Postconventional

A stage of moral development wherein individuals' ethics are governed by internal principles, and they understand that laws and rules may not always be just.

Conventional

Adhering to established norms, standards, or traditions, often seen as typical or traditional.

Preconventional

A level in Kohlberg's stages of moral development where moral reasoning is based on external consequences and individual needs.