Keegan Corporation Reports the Following Cost Information for March What Is the Amount of Direct Materials Used by the

question 140

Multiple Choice

Keegan Corporation reports the following cost information for March: $$\begin{array} { | l | r | } \hline \text { Cost of Goods Manufactured } & \$ 76,000 \\\hline \text { Manufacturing Overhead } & 18,900 \\\hline \text { Finished Goods Inventory, March 1 } & 4000 \\\hline \text { Finished Goods Inventory, March 31 } & 3000 \\\hline \text { Work-in-Process Inventory, March 1 } & 9690 \\\hline \text { Work-in-Process Inventory, March 31 } & 1200 \\\hline \text { Direct Labor } & 37,000 \\\hline\end{array}$$ What is the amount of direct materials used by the company in March?

• A) $11,610
• B) $8490
• C) $18,100
• D) $20,100

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Definitions:

Security Market Line

A graphical representation in financial market theory that depicts the relationship between risk (measured as beta) and expected return for the entire market.

Beta

A way of measuring the level of erratic behavior, or systemic threat, in a security or investment group in perspective of the general market.

Expected Return

The average of all possible returns for an investment, weighted by their respective probabilities.

Portfolio Standard Deviation

A measure of the dispersion of returns from a portfolio, indicating the portfolio's risk.