49. Teller Co. is planning to sell 900 boxes of ceramic tile, with boxes during May. Each box of tile requires 44 pounds of clay direct labor. Clay mix costs $0.40 per pound and employees of $12.00 per hour. Manufacturing overhead is applied at a rate of costs. Teller has 3,900 pounds of clay mix in beginning inve 4,500 pounds in ending inventory. Ceramic tile, with production estimated at 870 nds of clay mix and a quarter hour of employees of the company are paid plied at a rate of 110% of direct labor y mix in beginning inventory and wants to have What is the total amount to be budgeted for direct labor for the month A) $10,440 B) $2,700 C) $41,760 D) $2,610 50. Mallory Company manufactures wideets. Bowden Company has approac with a proposal to sell the company widots at a nice of $82.000 for 100,000 units. Mallory is currently making these components in its own factory. The following costs are associated with this part of the process when 100,000 units are produced: Direct material $ 31,000 Direct labor 29,000 Manufacturing overhead 40,000 Total $100.000 The manufacturing overhead consists of $16,000 of costs that will be eliminated if the components are no longer produced by Mallory. From Mallory's point of view, how much is the incremental cost or savings if the widgets are bought instead of made? A) $2,000 incremental savings B) $18,000 incremental savings C) $18,000 incremental cost D) $6,000 incremental cost lei 51. It costs Garner Company $12 of variable and SS of fixed costs to produce one bathroom scale which normally sells for $35. A foreign wholesaler offers to purchase 3.000 scale S15 each Garner would incur special shipping costs of Si per scale if the order were accented. Garner has sufficient unused capacity to produce the 3,000 scales. If the special order is accepted, what will be the effect on net income? A) $9.000 decrease B) $45,000 increase C) $6,000 decrease D) $6,000 increase de Version! Page 15