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1) The job cost sheet for 1,000 units of toy trucks is:

Job Number 555 Date Started 4/13
Date Completed 6/18

Raw Materials Direct Labor
Date Type Cost Qty. Amount Cost Hours Amount
4/13 565 \$ 3 1,000 \$3,000 \$18 20 \$ 360
5/24 889 1 4,000 4,000 12 10 120
6/18 248 2 1,000 2,000 15 100 1,500
\$9,000 130 \$1,980

Total direct materials \$9,000
Total direct labor 1,980
Overhead (130 direct labor hours @ \$10/hour) 1,300
Total Job Cost \$12,280

All of the materials for the job were purchased on 4/10. The batch of 1,000 toy trucks is sold on 7/10.

a) What are the costs of this job order in the raw materials account, on 4/30, 5/31, 6/30 and 7/31?

a. \$5,000, \$3,000, \$0, and \$0
b. \$4,000, \$2,000, \$0 and \$0
c. \$6,000, \$2,000, \$0 and \$0
d. \$6,000, \$3000, \$1,000, and \$1,000

b) what are the costs of this job order in the work-in-process account, on 4/30, 5/31, 6/30 and 7/31?

a. \$3,560, \$7,780, \$0, and \$0
b. \$4,580, \$6,780, \$0 and \$0
c. \$3,560, \$6,780, \$0 and \$0
d. \$2, 560, \$7,780, \$0 and \$0

2) The Alphonse Company allocates fixed overhead costs by machine hours and variable overhead costs by direct labor hours. At the beginning of the year the company expects fixed overhead costs to be \$600,000 and variable costs to be \$800,000. The expected machine hours are 6,000 and the expected direct labor hours are 80,000. The actual fixed overhead costs are \$700,000 and the actual variable overhead costs are \$750,000. The actual machine hours during the year are 5,500 and the actual direct labor hours are 90,000.

a) How much overhead is allocated?

a. \$1,500,000
b. \$1,450,000
c. \$1,400,000
d. \$1,350,000

b) what is the over/underabsorbed overhead?

a. \$2,000
b. \$0
c. \$5,000
d. \$1,000

3). For many years the Honey Lake Summer Camp had used the number of campers per week to estimate weekly costs. The summer camp is open for ten weeks during the summer with a different number of campers each week. July is busiest with June and the end of August least busy. Costs from the last week of summer camp in 1998 are used to estimate costs for 1999 for pricing purposes. The following costs occurred during the last week of 1998 and the costs of each cost category are expected to be the same for 1999:

Weekly Cost
Supervisor's salary \$ 400
Cook's salary 300
Camp counselor salaries (1 for each occupied cabin, each of
which hold 10 campers) (5 counselors × \$200/counselor) 1,000
Food (50 campers × \$100/camper) 5,000
Supplies (50 campers × \$20/camper) 1,000
Utilities (50 campers × \$10/camper) 500
Insurance (50 campers × \$20/camper) 1,000
Property tax (\$10,000/10 weeks) 1,000
Weekly total \$10,200

Cost per camper: \$10,200/50 campers = \$204/camper

The Honey Lake Summer Camp expects 75 campers during the second week of July.

a) what is the expected cost of that week using the average cost?

a. \$15,300
b. \$16,000
c. \$14,500
d. \$16,300

b) what is the expected cost of that week using ABC?

a. \$16,550
b. \$14,550
c. \$15,600
d. \$16,800