Use the Information Below to Answer the Following Question(s)

question 318

Multiple Choice

Use the information below to answer the following question(s) .
Howard & Sons allocates manufacturing overhead to jobs based on machine hours. The company has the following estimated costs for the upcoming year:

The company estimates that 1,600 direct labour hours will be worked in the upcoming year, while 1,000 machine hours will be used during the year.
-Job 1574 requires $10,000 of direct materials, $4,000 of direct labour, 400 direct labour hours, and 200 machine hours. It also requires 7 hours of inspection at $35 per hour. Manufacturing overhead is computed at $20 per direct labour hour used and $40 per machine hour used. The total amount charged to inspection

• A) is $35.
• B) is $35 × budgeted hours.
• C) is $245 + the overhead dollars applied.
• D) does not figure into the total cost of the job.

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Definitions:

Core Job Dimension

Key characteristics of a job that affect an employee's attitude and motivation, including skill variety, task identity, task significance, autonomy, and feedback.

Task Identity

The degree to which a job requires completion of a whole and identifiable piece of work, allowing an employee to see the outcome of their efforts.

Critical Psychological State

A significant mental condition impacting an individual's perception, behavior, and well-being, often influencing their engagement and satisfaction in various aspects of life.

Job Characteristics Theory

A theory that suggests jobs can be designed to enhance employee motivation and satisfaction by incorporating specific characteristics like skill variety, task identity, and feedback.