Multiple Choice
Lincoln,Inc. ,which uses a volume-based cost system,produces cat condos that sell for $90 each.Direct materials cost $15 per unit,and direct labor costs $10 per unit.Manufacturing overhead is applied at a rate of 200% of direct labor cost.Nonmanufacturing costs are $27 per unit.What is the gross profit margin for the cat condos?
A) 20.0%
B) 50.0%
C) 62.5%
D) 80.0%
Correct Answer:
Verified
Correct Answer:
Verified
Q28: Which type of quality cost would a
Q29: Yallow,Inc.manufactures teddy bears and dolls.Currently,Yallow makes 2,000
Q30: Calverton,Inc.produces two different products (Standard and Luxury)using
Q31: The first step in ABC is:<br>A)to calculate
Q32: The gross margin does not take into
Q34: Prevention costs are costs that:<br>A)are incurred to
Q35: Cottonwood,Inc.produces two different products (Standard and Luxury)using
Q36: Carter,Inc.produces two different products,Product A and Product
Q37: Magnolia Company has identified seven activities as
Q38: Activity Based Costing divides activities into two