1 points QUESTION 31 Answer questions 8 & 9 using the information below: For 2019, Roy manufacturing used job costing. The company uses machine-hours as the overhead cost-allocation base. The records show the following information: Estimated Actual Manufacturing overhead costs 800,000 840,000 Machine-hours 50,000 60,000 The budgeted manufacturing overhead rate for 2019 is (1 mark): 16 per machine-hour b. 16.8 per machine-hour 13.3 per machine-hour d. 14 per machine-hour 1 points QUESTION 34 Which of the following costs is NOT capitalized as inventory (1 mark)? a. Factory amortization Manufacturing overhead cost C. Rent on Head Office building d. Costs of delivering finished goods 1 points QUESTION 36 Answer questions 10 & 11 using the information below: Yara manufactures state-of-the-art chairs. Manufacturing costs are expected to be 120 per chair, consisting of 70% variable costs and 30% fixed costs. The company has surplus capacity available. Yara's policy is to add a 60% profit margin to full costs. A large restaurants chain is going to replace the chairs in all branches. Yara is invited to submit a bid to the restaurants chain. What is the lowest price per chair Yara should bid on this long-term order (1 mark)? a. 270 b. 84 c. 192 d. 120 QUESTION 37 A company's sales figure is 250,000 and its margin of safety ratio is 40%. Assuming that the fixed costs, the variable cost per unit and the selling price per unit do not change, the company's margin of safety for sales of 325,000 will be (2 marks): 3. 100 000 b. 70,000 175.000 d. 150 000 2 points QUESTIONS MyCarShop is a chain of used car-dealers with showrooms in Leicester, Derby and Chesterfield and a separate Head Office. The management Accountant is reviewing the profitability of cach showroom. The rent and staff costs incurred by each showroom can be saved in the event of closure. Marketing costs are allocated to each showroom, but would not be saved, if any shop were to close. Head office cost is charged at a rate of 7% of sales The data regarding costs and sales revenues for each showroom are presented below. Chesterfield Leicester 1,500 1,250 Derby 1,375 000 Sales Cost of sales Rent of showroom Showroom staff 22:30 1,240 1.184 67 78 21 28 12 salaries Marketing costs 22 18 What is the contribution margin for each showroom, as ordered in the table above (1 mark) 250 335 107 174 40