Velshi Printers Has Contracts to Complete Weekly Supplements Required by Forty-Six

question 102

Multiple Choice

Velshi Printers has contracts to complete weekly supplements required by forty-six customers.For the year 2018,manufacturing overhead cost estimates total $1,760,000 for an annual production capacity of 16 million pages.
For 2018 Velshi Printers has decided to evaluate the use of additional cost pools.After analyzing manufacturing overhead costs,it was determined that number of design changes,setups,and inspections are the primary manufacturing overhead cost drivers.The following information was gathered during the analysis:

During 2018,two customers,Money Managers and Hospital Systems,are expected to use the following printing services:

Assuming activity-cost pools are used,what are the activity-cost driver rates for design changes,setups,and inspections cost pools?

• A)$800.00 per change,$306.00 per setup,$10.00 per inspection
• B)$800.00 per change,$14.00 per setup,$218.57 per inspection
• C)$32.00 per change,$10.00 per setup,$306.00 per inspection
• D)$22.86 per change,$306.00 per setup,$350 per inspection

---

Definitions:

Rooting and Sucking Reflexes

Innate reflexes crucial for infant survival, enabling them to find and draw milk from the breast or bottle nipple.

Visually Guided Reaching

The ability to reach for objects guided by sight, integrating visual perception and motor coordination, often studied in infants and children.

Maturational Changes

Changes that occur as part of the natural aging process, including physical, cognitive, and emotional development.

Reinforcement

In behavioral psychology, a consequence applied that strengthens an organism's future behavior whenever that behavior is preceded by a specific antecedent stimulus.