Olympia Manufacturing Uses a Predetermined Overhead Allocation Rate Based on Direct

question 65

Multiple Choice

Olympia Manufacturing uses a predetermined overhead allocation rate based on direct labor cost.At the beginning of the year,Olympia estimated total manufacturing overhead costs at $1,010,000 and total direct labor costs at $820,000.In June,Job 511 was completed.The details of Job 511 are shown below. $$\begin{array} { | l | r | } \hline \text { Direct materials cost } & \$ 24,000 \\\hline \text { Direct labor cost } & \$ 13,000 \\\hline \text { Direct labor hours } & 500 \text { hours } \\\hline \text { Units of product produced } & 500 \text { hours } \\\hline\end{array}$$ What is the amount of manufacturing overhead costs allocated to Job 511? (Round any percentages to two decimal places and your final answer to the nearest dollar.)

• A)$16,012
• B)$29,561
• C)$10,554
• D)$19,485

Understand the concept and implications of scorecard cascading in large, decentralized organizations.

Understand the components and elements of the balanced scorecard.

Identify leading and lagging indicators in performance measurement.

Recognize the importance of aligning strategic objectives with performance metrics.

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Definitions:

B State

A concept in psychology that refers to an individual's internal state, such as mood or emotion, which can affect behavior and perception.

Central Nervous System

The part of the nervous system consisting of the brain and spinal cord, responsible for processing information and controlling responses.

Habituation

The decreasing responsiveness to a stimulus after repeated exposure.

Sensitization

An increased responsiveness or sensitivity to a stimulus, often resulting from repeated exposure to the stimulus.