Answer the Following Questions Using the Information Below:
Hobart Corporation

question 15

Multiple Choice

Answer the following questions using the information below:
Hobart Corporation manufactured 20 000 heaters during November.The overhead cost-allocation base is $15.75 per machine-hour.The following variable overhead data pertain to November:
$$\begin{array} { l r r } & \text { Actual } & \text { Budgeted } \\\text { Production } & 20000 \text { units } & 22000 \text { units } \\\text { Machine-hours } & 7875 \text { hours } & 9000 \text { hours } \\\text { Variable overhead cost per machine-hour: } & \$ 15.50 & \$ 15.75\end{array}$$
-What is the flexible-budget amount?

• A)$124 031.30
• B)$128 863.64
• C)$139 500.00
• D)$124 000.00

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Definitions:

Economic Duress

A situation where an individual or company is forced into a contractual agreement under threats or pressure related to financial hardships.

Assault And Battery

A combination of an attempt or threat to harm someone (assault) followed by unauthorized physical contact or harm (battery).

Fraud In The Inducement

Fraud in the Inducement involves deceit or trickery to secure unfair or unlawful gain in a transaction, leading to an agreement being made under false pretenses.

False Representation

A misleading statement or action that deceives or is intended to deceive.