Answer the Following Questions Using the Information Below:
Tiger Pride

question 56

Multiple Choice

Answer the following questions using the information below:
Tiger Pride produces two product lines: T-shirts and Sweatshirts. Product profitability is analyzed as follows:
$\begin{array}{lrr}&\text { T-SHIRTS }&\text { SWEATSHIRTS }\\\text { Production and sales volume } & 60,000 \text { units } & 35,000 \text { units } \\\text { Selling price } & \$ 16.00 & \$ 29.00 \\\text { Direct material } & \$ 2.00 & \$ 5.00 \\\text { Direct labor } & \$ 4.50 & \$ 7.20 \\\text { Manufacturing overhead } & \$ 2.00 & \$ 3.00\\\text { Gross profit } & \$ 7.50 & \$ 13.80 \\\text { Selling and administrative } & \$ 4.00 & \$ 7.00 \\\text { Operating profit } & \$ 3.50 & \$ 6.80\end{array}$ What is projected operating income if direct materials costs of T-Shirts increase to $4.00 per unit and direct labor costs of Sweatshirts increase to $8.20 per unit?
-Under the revised ABC system,total overhead costs allocated to Sweatshirts will be ________.

• A) $ 48,720
• B) $ 76,720
• C) $224,920
• D) None of these answers are correct.

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Definitions:

1,3-butadiene

An organic compound that is a simple conjugated diene with the formula C4H6, which is used as a monomer in the production of synthetic rubber.

UV λmax Absorption

The specific wavelength at which a substance absorbs the maximum amount of ultraviolet (UV) light, indicative of its chemical structure.

Conjugated Systems

A chemical structure where alternating single and double bonds allow for delocalized electrons across the structure, enhancing stability and color properties.

Sequence

An ordered list of numbers, objects, or events where the arrangement follows a specific pattern or rule.