Steele Corporation Has the Following Information for January, February, and March

question 34

Multiple Choice

Steele Corporation has the following information for January, February, and March 2011:
-There were no beginning inventories for January 2006, and all units were sold for $50.Costs are stable over the three months.
What is the March ending inventory for Steele Corporation using the variable costing method?

• A) $120,000
• B) $104,000
• C) $260,000
• D) $15,000

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Definitions:

Scalar Chain

A concept in management that denotes a clear line of authority in an organization, from the top management to the lowest rank.

Scalar Chain Principle

A concept in organizational management that asserts a clear and unbroken line of authority within the hierarchy of an organization from the top to the bottom.

Henri Fayol

A French industrialist and a pioneering management theorist who developed a general theory of business administration.

Hierarchy of Authority

A system in which different positions are ranked relative to each other within an organization, with higher levels having more power and responsibility.