BUS 5431 Final Exam 3, Questions With Answers

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BUS 5431 Final Exam 3, Questions With Answers.Your test grade is 93.33% The professor has configured this test to allow students to: Show Questions Answered Correctly Show Questions Answered Incorr... ectly Show All Responses Selected By Student Show What The Correct Response Should Be QUESTION: 1 [QUESTION BANK ID: 127712] TYPE: MULTIPLE CHOICE CORRECT ShipShape Company makes 2 different types of boats, commercial fishing and sail boats both for recreation and competition. The company consists of two different departments, design & engineering, and production. The company has decided to allocate overhead costs in each of the two cost pools. Data on estimated overhead follows: Activity Driver Estimated Overhead Cost Sailboat Estimate Fishing Estimate Product Design # of designs $180,000 22 designs 18 designs Production Labor hours $945,000 4,000 hours 3,500 hours What overhead rate will be used in each department? A Design & Engineering Production $11,250/design $126.00/labor hour B Design & Engineering Production $11,250/design $150.00/labor hour C Design & Engineering Production $4,500/design $126.00/labor hour D Design & Engineering Production $4,500/design $150.00/labor hour QUESTION: 2 [QUESTION BANK ID: 20178] TYPE: MULTIPLE CHOICE CORRECT Keira Knightley Company buys a piece of equipment for $36,442 that will last for 7 years. The equipment will generate cash flows of $7,000 per year and will have no salvage value at the end of its life. Ignore taxes unless told to include them. What is the payback period? [Show More]

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