The Following Accounts Are from Last Year's Books of Sharp

question 88

Multiple Choice

The following accounts are from last year's books of Sharp Manufacturing: Sharp uses job-order costing and applies manufacturing overhead to jobs based on direct labor costs. What is the amount of direct materials used for the year?

• A)$93,000
• B)$69,000
• C)$87,000
• D)$82,000

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Definitions:

Consideration

In contract law, something of value exchanged between parties, which is a necessary element for the formation of a legally binding contract.

Not Responsible

A declaration or disclaimer denoting that a party claims no liability or accountability.

Maintenance

The act of preserving, repairing, and keeping property, equipment, or systems in working order or in a condition to serve its intended purpose.

Delusion

A false belief or impression that is held despite invalidating evidence, often as a symptom of a psychiatric disorder.