The Kaumajet Factory Produces Two Products - Table Lamps and Desk

question 20

Multiple Choice

The Kaumajet Factory produces two products - table lamps and desk lamps. It has two separate departments - finishing and production. The overhead budget for the finishing department is $550,000, using 500,000 direct labor hours. The overhead budget for the production department is $400,000 using 80,000 direct labor hours. If the budget estimates that a desk lamp will require 1 hours of finishing and 2 hours of production, what is the total amount of factory overhead to be allocated to desk lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours, if 26,000 units are produced?

• A) $540,000
• B) $187,200
• C) $475,000
• D) $288,600

---

Definitions:

Interpersonal Attraction

The force that draws individuals together, leading to friendships, romantic relationships, or other forms of social connections.

Cohesion

The degree to which members of a group are connected to each other, fostering unity and a sense of belonging.

Punctuated Equilibrium Model

A theory in evolutionary biology and political science suggesting that changes occur in rapid, significant bursts followed by periods of stability.

Group Development

The stages and processes that a group undergoes from formation to maturity, facilitating effective collaboration and achieving objectives.