Theele Corporation Has the Following Information for April, May, and June

question 51

Multiple Choice

Theele Corporation has the following information for April, May, and June:
Production costs per unit (based on 10,000 units) are as follows:
$\begin{array}{lrrr} & \text { April } & \underline{\text { May }} & \text { June } \\\text { Units produced } & 10,000 & 10,000 & 10,000 \\\text { Units sold } & 7,000 & 8,500 & 10,500\end{array}$ Theele Corporation had no beginning inventories for April, and all units were sold for $55 per unit. Costs are stable over the three months.
$\begin{array}{lr}\text { Direct materials } & \$ 13 \\\text { Direct labour } & 9 \\\text { Variable factory overhead } & 7 \\\text { Fixed factory overhead } & 5 \\\text { Variable selling and administrative expenses } & 10 \\\text { Fixed selling and administrative expenses } & 4\end{array}$
-Refer to the Figure.What is the May contribution margin for Theele Corporation when using the variable costing method?

• A)$136,000
• B)$170,000
• C)$204,000
• D)$240,000

Identify factors that influence the likelihood of engaging in System II thinking.

Analyze the impact of cognitive biases on judgment and decision-making.

Understand the role of intuition and analysis in cognitive processes.

Describe the implications of dual-process theory for understanding human judgment and decision-making.

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Definitions:

Posting Process

The act of transferring entries from the journal to the ledger accounts in bookkeeping.

Subsidiary Ledger

A detailed ledger that contains all the transaction details of a specific account, which are then summarized in the general ledger.

Control Account

An account in the general ledger that summarizes the balances of a group of related accounts to keep the general ledger streamlined and manageable.

Control Accounts

Summary accounts in the general ledger that consolidate the details recorded in subsidiary ledgers.