Passage to Question 1: Sentry Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for $84.40 per unit. Sales Volume (units).....................................................5,000 6,000 Cost of Sale
Air Peanut Company manufactures and sells roasted peanuts packets to commercial airlines. Following are the price and cost data per 100 packets of peanuts: Estimated annual sales volume = 11,535,700 packets Selling price $35.00 Variable costs: Raw materials
Tenneco, Inc., produces three models of tennis rackets: standard, deluxe, and pro. Following are the sales and cost information for 2006: Item Standard Deluxe Pro Sales (in units) 100,000 50,000 50,000 Sales pr
Midway Manufacturing, Inc. manufactures two models of valves: a regular model and a deluxe model. The deluxe model, introduced two years ago, has been very successful. It now accounts for more than half of the firm's profits, as evidenced by the following income statement for last year: Total Regular Deluxe Sal
5. Speedy Dress Manufacturing has two workstations, cutting and finishing. The cutting station is limited by the speed of operating the cutting machine. Finishing is limited by the speed of the workers. Finishing normally waits for work from cutting. Each department works an eight-hour day. If cutting begins work two hours earli
You have just been hired by Corporation to fill a new position that was created in response to the upcoming launch of a newly developed product. It is your responsibility to design an advertising campaign for this product's debut in Mexico and Central America. The company is unsure how to classify your annual salary in its co
John needs some extra income to make ends meet. He could work overtime in his current job and make an additional $2,000 per year. Alternatively, he could use the overtime hours towards an Internet business. He is considering the wholesaling of baseballs to major-league-baseball teams over the Internet. If he is to do this, he
Same information applies to question 1 & 2 Imperial Products has a budget of $600,000 in 20x1 for prevention costs. If it decides to automate a portion of its prevention activities, it will save $40,000 in variable costs. The new method will require $12,000 in training costs and $80,000 in annual equipment costs. Management i
Please see the attached file. 13. R Corp. applies manufacturing overhead to products on the basis of standard machine-hours. The company's predetermined overhead rate for fixed manufacturing overhead is $1.20 per machine-hour and the denominator level of activity is 6,600 machine-hours. In the most recent month, the total act
1. The variance that is most useful in assessing the performance of the purchasing department manager is: A) the materials quantity variance. B) the materials price variance. C) the labor rate variance. D) the labor efficiency variance. 2. Matt Company uses a standard cost system. Information for raw materials for Pr
1. Gomez computer systems has an EBIT of $200,000, a growth rate of 6%, and its tax rate is 40%. In order to support growth, Gomez must reinvest 20% of its EBIT in net operating assets. Gomez has $300,000 in 8% debt outstanding, and a similar company with no debt has a cost of equity of 11%. According to the MM extension wi
Please see attached file. Climate-Control, Inc., manufactures a variety of heating and air-conditioning units. The company is currently manufacturing all of its own component parts. An outside supplier has offered to sell a thermostat to Climate-Control for $20 per unit. To evaluate this offer, Climate-Control, Inc., has gath
18. Lewis Auto Company manufactures a part for use in its production of automobiles. When 10,000 items are produced, the costs per unit are: Direct materials $ 12 Direct manufacturing labor 60
Urban Athletics Company has two store locations, North and South. During October, the company reported net income of $192,000 on sales of $905,000. Sales in the North store were $680,000 and variable costs in the South store were 60% of sales. The contribution margin in the North store was $204,000. If total direct costs are $50
Management Accounting: Given the allocated common costs at 10% revenue, calculate the number of workshops needed to break even.
During 2008, the Training Department of Firm XYZ conducted 200 workshops with 20 individuals in each. The charge per individual was $300. This is the maximum number of workshops that can be held in a year. The firm employs 2 Admin. Assistants, 1 Training Officer, and 1 Manager on a permanent basis. 2 Part-time trainers are hired
Francis Manufacturing Co. is currently preparing its cash budget for next month and has gathered the following info.: Expected cash receipts.....................$39,400 Expected disbursements: Direct materials...........................$12,000 Direct labor...............................$9,000 Manufacturing overhead.......
Use the following to answer both questions: The Pann Co. has obtained the following sales forcast data: July August September October Cash sales........$80,000 $70,000 $50,000 $60,000 Credit sales......$240,000 $220,000 $180,000 $200,000 The regular pattern of collection
At the break-even point: A)sales would be equal to contribution margin B)contribution margin would be equal to fixed expenses C)contribution margin would be equal to net operating income D)sales would be equal to fixed expenses Rovinsky Corporation, a company that produced and sells a single product, has provided its cont
Jackson, Inc., is preparing a budget for next year and requires a break down of the cost of steam used in its factory into fixed and variable components. The following data on the cost of steam used and direct labor hours worked are available for the last 6 months: Cost of steam Direct labo
Problem 9-9 Schedules of Expected Cash Collections and Disbursements [LO2, LO4, LO8] Calgon Products, a distributor of organic beverages, needs a cash budget for September. The following information is available: a. The cash balance at the beginning of September is $9,000. b. Actual sales for July and August and expected sa
I need help with the following assignment: Write a critical evaluation of a paper topic - Earned Value Management. Paper should go beyond simply summarizing the topic; exhibiting critical thinking or adding value through your superior analysis and relating the article to real world applications. The article is attached.
Triple Play Sports manufactures baseball gloves. Information related to a recent production period is as follows: Estimated manufacturing overhead, 2004 = $100,000 Estimated machine hours, 2004 = 4,000 Direct labor cost, October = $5,000 Direct materials cost, October = $5,000 Supervisor's salary, October = $4,000 Factor
Consider the following: Within this year your property taxes on your commercial building are not likely to change, and as such they are considered fixed; yet with a simple change in operating periods - to include up to a few years, these are more than likely to flux. (In one year the tax level on the property is a fixed cost,
Timberline Associates uses the weighted-average method in its process costing system. The following data are for the first processing department for a recent month: Work in process, beginning: Units in process 2,400 Percent complete with respect to materials 75% Percent complete with respect to conversion 50% C
Attached is a problem I need help with. Dotsero Technology, Inc., has a job-order costing system. The company uses predetermined overhead rates in applying manufacturing overhead cost to individual jobs. The predetermined overhead rate in Department A is based on machine-hours, and the rate in Department B is based on direct
Please help solve the attached is a problem. Part A In December, Vollick Corporation had sales of $245,000, selling expenses of $23,000, and administrative expenses of $26,000. The cost of goods manufactured was $190,000. The beginning balance in the finished goods inventory account was $59,000 and the ending balance was
The Coat Division of Jones Fashions Manufactures a winter coat with the following standard costs: Direct Material $40 Direct Labour $60 Overhead $30 Total Unit Cost $130 The standard direct labour rate is $30 per hour, and overhead is assigned at 50% of the direct labour rate. normal direct labour hours
I found this posting from the solution libray: Cash conversion cycle= Inventory conversion period + Receivables conversion period - Payables deferred period = 120000/(600000/365) + 160000/(600000/365) -25000/(600000/365) =155 days=Answer 1. What does the CCC value mean? 2. Is this an adequate cash conversion cycle? 3.
The Melville Company produces a single product called a pong. Melville has the capacity to produce 60,000 pongs each year. If Melville produces at capacity, the per unit cost to produce and sell one pong as follows: Direct Materials $15 Direct Labor $12 Variable Manufacturing Overh
I am looking to try and understand the decision making process regarding the example below. I am hoping that based on my values I can make a better suggestion to management. Estimated Activity Overhead Cost pool Costs Product C Product D Total Machine set-up $13,630 130 160