The Sit-N-Spin Corporation Manufactures and Assembles Office Chairs

question 167

Multiple Choice

The Sit-N-Spin Corporation manufactures and assembles office chairs. Sit-N-Spin uses an activity-based costing system to allocate all manufacturing conversion costs. Each chair consists of 10 separate parts totaling $145 in direct materials, and requires 6.0 hours of machine time to produce. Additional information follows: What is the cost of machining per chair?

• A)$18.00
• B)$30.00
• C)$72.00
• D)$28.50

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Definitions:

Oscilloscope

An electronic instrument used to visualize and measure varying signal voltages, typically represented as waveforms on a screen.

Sound Waves

Vibrations that travel through air or another medium and can be heard when they reach an ear or a similar sensory mechanism.

Vestibular Sense

The awareness of the balance, position, and movement of the head and body through space in relation to gravity’s pull.

Equilibrium

A state of physical balance or a stable situation in which all forces are equal.