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Simmons Inc. applies overhead to production at a predetermined rate of 90% based on direct labor cost. Job No. 250, the only still in process

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Simmons Inc. applies overhead to production at a predetermined rate of 90% based on direct labor cost. Job No. 250, the only still in process the end of August, has been charged with manufacturing overhead of $7, 200, what was the amount of direct materials charged to Job 250 assuming the balance in Work in Process inventory is $30,000? a. $7, 500. B. $8,000. c. $14, 800. d. $30,000. Sales mix is a. the relative percentage in which a company sells its multiple products. b. the trend of sales over recent periods. c. the mix of variable and fixed expenses in relation to sales. d. a measure of leverage used by the company. In a sales mix situation, at a level of units sold, net income will be higher if a. more higher contribution margin units are sold than lower contribution margin units. b. more lower contribution margin units are sold than higher contribution margin units. c. more fixed expenses are incurred. d. weighted-average unit contribution margin decreases. Reducing reliance on human workers and instead investing heavily in computers and online technology will a. reduce fixed costs and increase variable costs. b. reduce variable costs and increase fixed costs. c. have no effect on the relative proportion of fixed and variable costs. d. make the company less susceptible to economic swings. Only direct materials, direct labor, and variable manufacturing overhead costs are considered product costs when using a. full costing. b. absorption costing. c variable costing. d. product costing

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