Answer the Following Questions Using the Information Below

question 57

Multiple Choice

Answer the following questions using the information below:
Flify Manufacturing Inc., incurred total indirect manufacturing labor costs of $500,000. The company is labor intensive. Total labor hours during the period were 5,000. Using qualitative analysis, the manager and the management accountant determine that over the period the indirect manufacturing labor costs are mixed costs with only one cost driver-labor-hours. They separated the total indirect manufacturing labor costs into costs that are fixed ($110,000 based on 8,000 hours of labor) and costs that are variable ($390,000) based on the number of labor-hours used. The company has estimated 7,000 labor hours during the next period.
-What will be the total cost for the estimated 7,000 hours?

• A) $451,250
• B) $547,500
• C) $700,000
• D) $656,000

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Definitions:

Addington v. Texas

A landmark legal case that set the standard for involuntary commitment for mental health treatment, requiring "clear and convincing" evidence for such action.

Level of Proof

The extent or strength of evidence required to prove a claim or hypothesis, often used in legal and scientific contexts.

Clear and Convincing

A standard of proof in legal matters that requires evidence to be highly and substantially more probable to be true than not.

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a landmark Supreme Court case ruling that a criminal defendant deemed incompetent to stand trial cannot be indefinitely committed to a state institution.