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

question 176

Multiple Choice

Velshi Printers has contracts to complete weekly supplements required by forty-six customers.For the year 2018,manufacturing overhead cost estimates total $600,000 for an annual production capacity of 12 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:

Using pages printed as the only overhead cost driver,what is the manufacturing overhead cost estimate for Money Managers during 2018?

• A)$4,300
• B)$2,800
• C)$3,500
• D)$4,784

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Definitions:

Stress Hormone

Hormones like cortisol that are secreted into the bloodstream in response to physical or psychological stress, affecting the body's metabolism and immune response.

Reactive Children

Children who show a high level of emotional response to their environment or to changes in their environment.

Nonreactive

Describes a state or condition in which an individual or substance does not respond or react to a stimulus or change in the environment.

Excitable

Capable of responding rapidly and intensely to stimuli, often used to describe nerve or muscle cells.