Implication questions ask about the consequences of a buyer's problems, difficulties, or dissatisfactions

Which of the following describes the allocation base for allocating manufacturing overhead costs?

A) the primary cost driver of indirect manufacturing costs B) the estimated base amount of manufacturing overhead costs in a year C) the percentage used to allocate direct labor to Work-in-Process Inventory D) the main element that causes direct costs

Assume the issuer incurs $1 million in other expenses to sell 3 million shares at $40 each to an underwriter and the underwriter sells the shares at $43 each. By the end of the first day's trading, the issuing company's stock price had risen to $70. In %age terms, how much market value is absorbed by the total cost (direct expenses plus underpricing cost)?

A. 13.33% B. 23.33% C. 33.33% D. 43.33%