In computing its predetermined overhead rate, Marple Company inadvertently left its indirect labor costs out of the computation. This oversight will cause (chapter 6) A. Manufacturing Overhead to be overapplied B. the Cost of Goods Manufactured to be understated C. the debits to the Manufacturing Overhead account to be understated D. the ending balance in Work-in-Process to be overstated

a) The Cost of Goods Manufactured to be understated

Explanation:

From the question we are informed about Marple company, and In computing its predetermined overhead rate, Marple Company inadvertently left its indirect labor costs out of the computation. In this case, The oversight will cause The Cost of Goods Manufactured to be understated. pre-determined overhead rate can be regarded as rate utilize in application of manufacturing overhead as regards

work-in-process inventory. It is usually calculated before the beginning of the period and is usually commence by estimation of activities needed to support operations as regards coming period.

i

answerthe above statement is false;

the answer is "b.the increased supply will create a surplus. "

the essential thought behind price controls is straightforward - utilize the power of law to modify the equilibrium of a market. for instance, the legislature may choose that the steel business needs to survive, and in this way pass a law to set a value floor on steel. this implies all steel sold must offer at or over the floor value, which must be set over the equilibrium cost for it to have any impact. the switch could likewise happen - the administration can choose that steel is excessively costly and set a value roof underneath its equilibrium value, with the goal that all steel must be sold at or beneath that ceiling.