Trintal Corporation Manufactures Two Models of Motorized Go-Carts, a Standard

question 108

Multiple Choice

Trintal Corporation manufactures two models of motorized go-carts, a standard and a deluxe model. The following activity and cost information has been compiled:
$\begin{array}{lrrr}&\text { Number of }&\text { Number of }&\text { Number of } \\\text { Product }&\text { Setups }&\text { Components }&\text { Direct Labor Hours }\\\text { Standard } & 15 & 10 & 750 \\\text { Del uxe } & 35 & 15 & 500 \\\text { Overhead costs } & \$ 16,500 & \$ 23,500 \end{array}$
-Assume a traditional costing system applies the $40,000 of overhead costs based on direct labor hours.What is the total amount of overhead cost assigned to the standard model?

• A) $16,000
• B) $24,000
• C) $25,000
• D) $15,000

---

Definitions:

Social Identity Theory

The view that social identity is a crucial part of self-image and a valuable source of positive feelings about oneself.

Cognitive Dissonance Reduction

The process of resolving the discomfort caused by holding two or more conflicting cognitions (beliefs, attitudes) by changing, adding, or minimizing one of the discordant factors.

Defective

A term used to describe something that is imperfect or lacking in some component, making it not fully functional.

Staples

Metal wire or plastic pieces used to bind materials together, typically papers or the edges of wounds in medical suturing.