Stealth,Inc

question 139

Multiple Choice

Stealth,Inc.produces two types of drones,rotary and fixed wing.Stealth estimated $765,000 of manufacturing overhead,and 51,000 machine hours for the year.The allocation base for overhead costs is machine hours.The rotary model actually consumed 21,000 machine hours,and the fixed wing type consumed 30,000 machine hours.How much overhead is allocated to the fixed wing model?

• A)$315,000
• B)$450,000
• C)$210,000
• D)$150,000

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Definitions:

Escalation Of Commitment

The phenomenon where individuals or organizations continue to invest time, money, or resources into a failing project, decision, or endeavor.

Losing Ventures

Businesses or projects that fail to generate a profit or achieve their intended outcomes, often leading to financial loss or closure.

Rock Layers

Stratified layers of rock, each of which can represent a period of deposition in the Earth's geological history.

Fracture

The breaking or cracking of a material, often rock or bone, into two or more pieces under stress or impact.