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Management Accounting

Elements of Manufacturing Cost

Group the costs of manufacturing candles. Indicate whether each of the following items should be classified as direct materials (DM), direct labor (DL), overhead (O), or none of these (N). Also indicate whether each is a prime cost (PC), a conversation cost (CC), or neither (N). 1. Depreciation of the cost of vats to hold mel

Managerial Accounting: GHI Company makes light-weight canoes

GHI Company makes light-weight canoes for campers. The president, George Ingalls, enlists your help in predicting the effects of some changes he is contemplating. He gives you the following information: Unit variable costs of each canoe: Direct materials $ 90 Direct labor 100 Variable factory overhead 20 Variable sellin

10 MC Managerial accounting: markup, discounts, selling price, cost

1.Markup is: a.selling price + cost b.selling price divided by cost c.selling price cost d.selling price (1 + cost) e.None of these 2.Black and Decker Manufacturing sold a set of saws to True Value Hardware. The list price was $3,800. Black and Decker offered a chain discount of 8/3/1. Th

Joint cost allocation and Net Realizable Value

A single production process converts a single raw material into 5,000 kg of joint product A and 5,000 kg of joint product B at a total cost of $100,000. After the split-off point $10,000 is spent on A to convert it into C and $20,000 is spent on B to convert it into D. C and D are both sold for $15 per kg. Joint costs are alloca

Managerial Accounting Problems Computed

PROBLEM 2-25 Working with Incomplete Data from the Income Statement and Schedule of Cost of Goods Manufactured [ LO4 , LO5 ] Supply the missing data in the following cases. Each case is independent of the others. Replace each "?" with the correct answer in red text. 1 2 3 4 Schedule of Cost of Goods Manufactured Direc

Managerial Acctg(2)

Please help with the attached assignments. Thank you. 2-9. Recording Labor Cost in Job-Order Costing Johnson Products had the following labor time tickets for the month of February: Required a. Calculate the amount of direct labor cost assigned to each job. b. Summarize the labor time tickets and prepare a journal e

Cost of equity

A firm has a debt-to-equity ratio of 1.20. If it had no debt, its cost of equity would be 15%. Its cost of debt is 10%. What is its cost of equity if there are no taxes or other imperfections? a. 10% b. 15% c. 18% d. 21% e. none of the above

Relevant Cost Information

Overbey Construction Company is a building contractor specializing in small commercial buildings. The company has the opportunity to accept one of two jobs; it cannot accept both because they must be performed at the same time and Overbey does not have the necessary labor force for both jobs. Indeed, it will be necessary to hire

Manufacturing Indirect costs. Objective of allocating indirect costs

Please help with answer the following questions. 1. What is direct cost? What criteria are used to determine whether a cost is a direct cost? To calculate the total cost of the production department or to calculate each product's total cost, it is necessary to allocate some of the rent (and other indirect costs) to the d

Cost allocation in a service industry - Jarmon Airlines & Never-Fail, Inc.

Jarmon Airlines is a small airline that occasionally carries overload shipments for the overnight delivery company Never-Fail, Inc. Never-Fail is a multimillion dollar company started by Peter Never immediately after he failed to finish his first accounting course. The company's motto is "We Never-Fail to Deliver Your Package on

Cost Accumulation and allocation: Maller Manufacturing Company

Maller Manufacturing Company makes two different products, M and N. The company's two departments are named after the products; for example, Product M is made in Department M. Maller's accountant has identified the following annual costs associated with these two products. ** (See attachment) ** Required: 1. Identify the

Contribution margin and break even in units

Claire's Antiques has fixed cost of $75,000 per month. Each antique has the following identifiable sales price, variable material costs, and fixed monthly costs, respectively. Sales Price Variable Material Costs Fixed Monthly Costs Clocks $700 $320 20% Dinette Sets $3,700 $1,280 35% Bedroom Suites $6,500 $1,840 45%

Identify a recent decision, relevant & non-relevant costs

Identify a decision that has recently been made or will be made in the near future within the Coca Cola Company. Identify two relevant and two non-relevant costs in this decision. Support your answers using CM calculations. If you cannot identify specific actual amounts, make a reasonable estimate and apply the tool as if

Cash Conversion Cycle in Given Scenario of Zocoo Corp.

See the attached file. The Zocco Corporation has an inventory conversion period of 79 days, a receivables collection period of 47 days, and a payables deferral period of 35 days. Assume 365 days in year for your calculations. a. What is the length of the firm's cash conversion cycle? b. If Zocco's annual sales are $3,25

Cash Conversion Cycle: Example Problem

Westley Company's average age of accounts receivable is 90 days, the average age of accounts payable is 45 days, and the average age of inventory is 72 days. Assuming a 365-day year, what is the length of its cash conversion cycle?

Managerial Accounting, part 5. MC questions X 25.

See attached file. Ref: Fundamental Managerial Accounting Concepts. Fifth Edition. EDMONDS 25 Multiple Choice Questions. 1. During the year Leyland Company completed 1,300 units of product. Ending inventory consisted of 400 units that were 50% complete. The total dollar cost associated with production of inventory was $

Calculate the Best Estimate of the Total Variable Cost per Unit

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

Breakeven point, what-if analysis - Air Peanut Company

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

What-if-analysis - Tenneco Inc.

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

Managerial Accounting: Midway Manufacturing, Inc.

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

Compute cost of production changes: margin and units

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

Salary costs for new position: product cost, selling expense

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

Managerial accounting Uncertain Estimate and Break-even Number

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

Cost MCQ: Imperial Products, Pershing Co, Audio Labs, First Image

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

Target Costing: Unit Cost

Calculation Company is contemplating introducing a new type of calculator to complement its existing line of scientific calculators. The target price of the calculator is $75; annual sales volume of the new calculator is expected to be 500,000 units. Calculation has a 15% return-on-sales target. Compute the unit target cost per

Direct Cost and Indirect Cost: Product Cost

What are the differences between a direct cost and an indirect cost? Which is the more difficult cost to track? Why? How do indirect costs affect the cost of a product? Should indirect costs be included in product cost? Why or why not? Please provide 300 words and references.

Managerial Accounting

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