The Engineering Firm of Dobbs and Smith Uses a Job

question 13

Multiple Choice

The engineering firm of Dobbs and Smith uses a job order costing system to accumulate client-related costs. The overhead rate is 60% of direct labor cost. Staff engineer's time is charged at a rate of $80 per hour. A recent job for a client involved 30 staff labor hours. How much was the total job cost?

• A)$1,600
• B)$2,400
• C)$3,840
• D)$360

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Definitions:

Affluent Nations

Countries with high levels of prosperity and economic wealth, often characterized by high standards of living and well-developed infrastructure.

Poorer Nations

countries with low levels of economic productivity, low per capita income, and generally low standards of living.

Balance

Balance refers to the state of stability and equilibrium, either physically, as in the body's ability to maintain a stable posture, or metaphorically, such as in emotional or mental stability.

Pedal

Pertaining to or operated by the foot or feet, such as bicycle pedals or the pedals of a car.