Use the Information Below to Answer the Following Question(s)

question 18

Multiple Choice

Use the information below to answer the following question(s) .
Jim's Computer Products manufactures keyboards for computers. In June, the two production departments had budgeted allocation bases of 10,000 machine hours in Department 1 and 5,000 direct manufacturing labour hours in Department 2. The budgeted manufacturing overheads for the month were $34,500 and $37,500, respectively. For Job 501, the actual costs incurred in the two departments were as follows:
Job 501 incurred 1,000 machine hours in Department 1 and 300 manufacturing labour hours in Department 2. The company uses a budgeted departmental overhead rate for applying overhead to production.
-What is the total manufacturing cost of Job 892 using budget costing?

• A) $9,900
• B) $12,300
• C) $12,080
• D) $12,255
• E) $12,075

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Definitions:

Alcoholism

A chronic disease characterized by uncontrolled drinking and a preoccupation with alcohol, significantly affecting one's health, relationships, and responsibilities.

Disease

A disorder of structure or function in a human, animal, or plant, especially one that produces specific signs or symptoms or that affects a specific location and is not simply a direct result of physical injury.

Social Dysfunction

A disruption or breakdown in the normal functioning of a social system, often leading to social problems.

Sexually Harassed

Experiencing unwanted sexual advances, requests for sexual favors, or other verbal or physical harassment of a sexual nature.