Porus Corporation Makes and Sells a Single Product Called a Yute

question 144

Multiple Choice

Porus Corporation makes and sells a single product called a Yute. The company is in the process of preparing its Selling and Administrative Expense Budget for the last quarter of the year. The following budget data are available: All of these expenses (except depreciation) are paid in cash in the month they are incurred.
-If the total budget for selling and administrative expense for October is $493,300, then how many Yutes does the company plan to sell in October?

• A) 17,500 units
• B) 17,000 units
• C) 17,200 units
• D) 16,700 units

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Definitions:

Consolidated Financial Statements

Financial statements that show the aggregated financial position and results of operations for a parent company and its subsidiaries.

Parent's Control

The influence and authority a parent company holds over its subsidiary's operations and financial decisions.

Subsidiaries

Companies controlled by a parent company through the ownership of more than half of their voting stock or through other means of control.

Available-for-Sale Securities

Debt or equity securities not classified as held-to-maturity or trading securities, measured at fair value, with changes in value recorded in other comprehensive income.