• the Overhead Is Allocated to Jobs Using an Estimated

question 98

Multiple Choice

• The overhead is allocated to jobs using an estimated rate applied to direct labour hours. The budget for the year called for $180,000 of overhead cost and 60,000 direct labour hours.
• Accounts payable is used for materials only. The balance on 9/1 was $6,000. September's payments were $40,000.
• September 1 finished goods inventory was $11,000.
• Cost of jobs completed in September was $89,000.
• On September 30 there was a single job unfinished, consisting of $1,800 (300 hours) of direct labour and $2,600 of direct material.
• 5,200 direct hours were worked during September. All workers earn the same rate of pay.
• All actual overhead costs incurred have been recorded.
Cost of goods sold during September was:

• A)$89,000
• B)$84,000
• C)$100,000
• D)$83,200

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Definitions:

Three to Seven Characters

A range often used to describe the length of codes in medical coding, indicating specificity and detail in diagnosis or procedures.

ICD-10-CM

The International Classification of Diseases, Tenth Revision, Clinical Modification, used for coding and classifying morbidity data.

ICD-10-PCS

International Classification of Diseases, Tenth Revision, Procedure Coding System; a medical classification system used for coding procedures in healthcare settings.

Tabular List

A structured list presented in table format, often used in documents like codes for diseases, to organize information efficiently.