Norio Manufacturing Uses Powdered Plastics (PPS) to Manufacture a High-Pressure

Multiple Choice

Norio Manufacturing uses powdered plastics (PPS) to manufacture a high-pressure board used in a digital equipment product, Flex 10. Information concerning its operation in June is as follows: Assume that Norio does not maintain an inventory of materials, so that the amount of materials used is equal to the amount of materials purchased. The cost of PPS in the flexible budget for the number of units manufactured this period (rounded to nearest dollar) is:

A) $259,200.
B) $280,800.
C) $311,040.
D) $324,000.
E) $360,000.