Choco Sweet Inc

question 101

Multiple Choice

Choco Sweet Inc.gives you the following information: The standard labor time of 0.75 labor hour is required to produce one unit.The standard labor cost for a 10 pound bag of chocolate is $8 per labor hour.The following is data relating to the actual cost and usage data.

-Using the above information provided for Choco Sweet,compute the direct labor rate variance for Choco Sweet Inc.

• A)$8,500 (
• B)$11,688 (
• C)$6,000 (
• D)$2,500 (

Understand the impact of machine hours vs. direct labor hours as allocation bases for overhead rates.

Compute the unit product cost of a job.

Calculate the amount of overhead applied to a job in a specific department.

Understand the concept of job-order costing system and its application in manufacturing.

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Definitions:

Biological Weapons

Agents derived from living organisms or their products, used to cause disease or death in humans, animals, or plants, often for warfare.

Adjusting Entries

At the conclusion of an accounting cycle, entries recorded to distribute earnings and costs to the appropriate period they occurred.

Internal Transactions

Transactions that occur within a company, affecting its financial or operational position without involving an exchange with external entities.

Account Balances

The total amount of money in an account, calculated by adding all credits and subtracting all debits.