If the expected sales volume for the current period is 7,000 units, the desired ending inventory is 400 units, and the beginning inventory is 400 units, the number of units set forth in the production budget, representing total production for the current period, is

a.7,100

b.7,000

c.7,400

d.6,700

Motorcycle Manufacturers, Inc. projected sales of 56,200 machines for the year. The estimated January 1 inventory is 6,730 units, and the desired December 31 inventory is 7,420 units. What is the budgeted production (in units) for the year?

a.56,200

b.42,050

c.56,890

d.55,510

A manufacturing company applies factory overhead based on direct labor hours. At the beginning of the year, it estimated that factory overhead costs would be $400,000 and direct labor hours would be 40,000. Actual manufacturing overhead costs incurred were $286,000, and actual direct labor hours were 26,000. The entry to apply the factory overhead costs for the year would include a

a.credit to Factory Overhead for $400,000

b.debit to Factory Overhead for $260,000

c.debit to Factory Overhead for $286,000

d.credit to Factory Overhead for $260,000