A Corporation Used $34,000 of Direct Materials

question 240

Multiple Choice

A corporation used $34,000 of direct materials.It incurred $74,000 in direct labor costs and $112,500 in manufacturing overhead costs during the period.What is the cost of goods manufactured if the beginning and ending Work-in-Process Inventories were $27,500 and $20,500,respectively?

• A) $248,000
• B) $227,500
• C) $213,500
• D) $220,500

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Definitions:

Automatic Insertion Machine

Equipment used in manufacturing to automatically place components onto printed circuit boards or other assemblies with precision and speed.

Internal Rate Of Return

A financial metric used to estimate the profitability of potential investments, calculated as the rate that makes the net present value of all cash flows equal to zero.

Present Value

Today's value of a sum of money or sequence of cash inflows expected in the future, discounted by a certain rate of return.

Desired Rate

The target interest or return rate set by an individual or organization for investments or loans.