Becky Works on the Assembly Line of a Manufacturing Company

question 8

Multiple Choice

Becky works on the assembly line of a manufacturing company where she installs a component part for one of the company's products.She is paid $16 per hour for regular time and time and a half for all work in excess of 40 hours per week.
-Becky's employer offers fringe benefits that cost the company $3 for each hour of employee time (both regular and overtime) .During a given week,Becky works 42 hours but is idle for 3 hours due to material shortages.The company treats all fringe benefits as part of manufacturing overhead.The allocation of Becky's wages and fringe benefits for the week between direct labor cost and manufacturing overhead would be:

• A)Choice A
• B)Choice B
• C)Choice C
• D)Choice D

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Definitions:

Medicare-Approved Amount

The predetermined cost that Medicare determines as reasonable for a medical service or supply, which sets the limit on what Medicare will pay and what you may be billed.

Ambulatory Payment Classification

A system used by Medicare and other health insurance programs to pay for outpatient services on a fixed rate based on the diagnosis and procedure rather than individual services provided.

Adjudication

The legal process of resolving a dispute or deciding a case.

Assignment

A task or piece of work allocated to someone as part of a job or course of study.