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
US Army Corps of Engineers - Walla Walla Project retrieved May 25, 2009 from: http://www.nww.usace.army.mil/lsr/reports/misc_reports/allocate.htm City of Seattle Budget for 2009 - 2010 retrieved May 25, 2009 from: http://www.cityofseattle.net/financedepartment/0910adoptedbudget/Cost_A llocation_2009_Adopted_and_2010_Endorsed_
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
Dr. Stephanie White, the Chief Administrator of uptown Clinic, a community mental health agency, is concerned about the dilemma of coping with reduced budgets next year and into the foreseeable future, but increasing demand for services. In order to plan for reduced budgets, she must first identify where costs can be cut or redu
Discuss the concept of operating cost.
ASSIGNMENT: Costs can be classified into two categories, fixed and variable costs. These costs behave differently based on the level of sales volumes. Suppose we are running a restaurant and have identified certain costs along with the number of annual units sold of 1000. Item: Raw Materials (cost for hamburgers) Total An
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
American Products is concerned about managing cash efficiently. On the average, inventories have an age of 90 days, and accounts receivable are collected in 60 days. Accounts payable are paid approximately 30 days after they arise. The firm has annual sales of about $30 million. Assume there is no difference in the investment p
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
Caneer Corp. produces and sells a single product. Selling price per unit..........$240.00 Variable expense per unit....... $81.60 Fixed expense per month.........$997,920 The UNIT sales to attain the company's monthly target profit of $44,000 is closest to: A) 7,896 B) 12,769 C) 6,578 D) 4,341 Serfass Corp's contri
A company makes a single product that it sells for $16 per unit. Fixed costs are $76,800 per month and the product has a contribution margin ratio of 40%. If the company's actual sales are $224,000, its MARGIN OF SAFETY is: A) $32,000 B) $96,000 C) $128,000 D) $192,000 Borich Corp. produces and sells a single product. Dat
Cherry Street Market reported the following information for the sales of their only product, cherries sold by the pint: Total Per Unit Sales............................ $31,500 $4.50 Variable expenses................ 9,450 1.35 Contribution margin.............. 22,050
Kuzio Corp. produces and sells a single product. Data concerning that product appear below: Per Unit Percent of sales Selling price....................$130 100% Variable expenses................ 78 60% Contribution margin.............. $52 40% The
Jilk Ink's contribution margin ratio is 58% and its fixed monthly expenses are $36,000. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's NET OPERATING INCOME in a month when sales are $103,000? A)$23,740 B)$59,740 C)$67,000 D)$7,260 Wilson Company prepared the following pr
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
The employees aaaaaat Mobile Sun Lotion Company roam the beaches with a tank of premium suntan lotion strapped on their backs. For a $2 charge, the employees will spray sunbathers with suntan lotion. Last year, Mobile Sprayed 250,000 customer and incurred the following costs: Total variable costs..........$175,000 Totoal fixed
Daar Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. Production volume......2,000 units 3,000 units Direct materials.......$188,400 $282,600 Direct Labor...........$91,800 $137,700 Manufacturing overhead..$1
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