During 2012, Alvarez Manufacturing expected Job No. 26 to cost $336,000 in overhead, $400,000 in direct materials, and $240,000 in direct labor. Alvarez used direct labor cost as the activity base. Actual production required $840,000 of overhead, $825,000 of direct materials, and $330,000 of direct labor. Upon completion of the job, the amount transferred to Finished Goods is Select one: a. $1,617,000. b. $1,491,000. c. $ 976,000. d. $1,206,000. e. not able to be determined from the provided information.

Amount transfer to finished goods is $1617000

So option (a) is correct answer

Explanation:

We have given expected values of cost.

Overhead cost = $336000

Direct material cost = $400000

Direct labor cost = $240000

And actual value of cost

Over head cost = $840000

Direct material cost = $825000

Direct labor cost = $330000

Overhead is equal to

Therefore amount transfer to finished goods = $825000+$330000+$462000 = $1617000

So option (a) is correct

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know