Company X is about to award a contract for an electrical switching device to Integrated Switches Corporation of Charleston, South Carolina. The switch will be used on the next version of infantry carrier vehicles. One obstacle that remains to be resolved, however, is that Company X requires a reliability of 0.995 for the device
Distinguish between cost and value and explain their relative significance in accounting?
1. Since Anytime Pizza is open 24 hours a day, its pizza oven is constantly on and is, therefore, always using natural gas. However, when ther is no pizza in the oven, the oven automatically lowers its flame and reduces its natural gas usage by 70%. The cost of natural gas would best be described as a: Fixed cost, Mixed co
1. Indirect labor is a part of: prime cost, conversion cost, period cost, or nonmanufacturing cost? 2. Fixed costs expressed on a per unit basis: will increase with increases in activity, will decrease with increases in activity, are not affected by activity, or should be ignored in making decisions since th
I would like the calculations and the theories behind them At $8,800, either 600 or 800 units of the Pro model are equally likely to be sold. --- A company manufactures and sells two types of scanners for personal computers, the Home Scanner and the Pro Scanner. The Home model is a low resolution model for small office a
The Vice President of Operations would like to increase profitability, improve customer service, and expand the business. Even though the external accounting department spends 5 days preparing each quarter's financial statements and disclosures, she does not examine those financial statements issued to the company shareholders.
Jensen's Travel Agency has a 7 percent preferred stock outstanding that is currently selling for $48 a share. The market rate of return is 10 percent and the firm's tax rate is 34 percent. What is the Jensen's cost of preferred stock?
Using the necessary steps, please calculate the cash conversion cycle of a firm with an inventory of $150,000,000, had $ 775,000,000 in sales over the year with a cost of goods sold of $ 581,000,000, receivables of $ 65,000,000, payables of $ 21,650,000.
When the actual amount of a raw material used in production is less than the standard amount allowed for the actual output, the journal entry would include: Credit to Work-In-Process; Credit to Materials Quantity Variance Credit to Raw Materials; Credit to Materials Quantity Variance Credit to Raw Materials; Deb
Bayshore Company manufactures and sells Product K. Results for last year are as follows: Sales (10,000 units at 150 each) 1,500,000 Less expenses: Variable production costs 900,000 Sales commissions (15% of sales) 225,000 Salary of product line manager 190,000 Traceable fixed advertising exp
The Melrose Company produces a single product, Product C. Melrose has the capacity to produce 70,000 units of Product C each year. If Melrose produces at capacity, the per unit costs to produce and sell one unit of Product C are as follows: Direct materials 20 Direct labor 17 Variable manufacturing overhead 13 F
Craves Company makes four products in a single facility. Data concerning these products appear below: Product A B C D Selling price per unit 27.775 26.838 19.048 26.15 Variable manufacturing cost per unit 11.4 7.5 6.5 9.3 Variable selling cost per unit 3.5 1.6 3.5 1.8 Milling machine minutes per unit
Division A makes a part with the following characteristics: Production capacity in units 15,000 units Selling price to outside customers 30 Variable cost per unit 20 Fixed cost per unit 4 Total fixed costs 60,000 Division B, another division of the same company, would like to purchase 5,000 units of th
Semaan Corporation applies manufacturing overhead to products on the basis of standard machine-hours. Budgeted and actual overhead costs for the month appear below: Original Budget Actual Costs Variable overhead costs: Supplies 11,340 12,850 Indirect labor 15,120 17,080 Fixed overhead costs: Su
Hatzenbuhler Manufacturing Corporation has prepared the following overhead budget for next month. Activity level 6,500 machine-hours Variable overhead costs: Supplies 23,350 Indirect labor 53,350 Fixed overhead costs: Supervision 20,300 Utilities 5,800 Depreciation 7,400
Eng Natural Dying Corporation measures its activity in terms of skeins of yarn dyed. Last month, the budgeted level of activity was 16,500 skeins and the actual level of activity was 16,400 skeins. The company's owner budgets for dye costs, a variable overhead cost, at 0.43 per skein. The actual dye cost last month was 7,538. In
Sharp Company, a retailer, plans to sell 16,330 units of Product X during the month of August. If the company has 2,490 units on hand at the start of the month, and plans to have 2,366 units on hand at the end of the month, how many units of Product X must be purchased from the supplier during the month? 16,206 18,696
Sarter Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are planned for the year. Beginning Inventory Ending Inventory Finished goods (units) 70,000 20,000 Raw material (grams) 50,000 60,000 Each unit of finished goods requires 3 grams of raw m
Managerial Accounting -------------------------------------------------------------------------------- Ahringer Company makes 50,000 units per year of a part it uses in the products it manufactures. The unit product cost of this part is computed as follows: Direct materials 19.10 Direct labor 21.70 Variable manu
Paulsen Company makes two products, W and P, in a joint process. At the split-off point, 50,000 units of W and 60,000 units of P are available each month. Monthly joint production costs are 290,000. Product W can be sold at the split-off point for 5.60 per unit. Product P either can be sold at the split-off point for 4.75 per un
Superior Lighting, Inc., mass produces reading lamps. Materials used in constructing the body of the lamp are added at the start of the process, while the materials used in wiring the lamps are added at the halfway point. All labor and overhead are added evenly throughout the manufacturing process. Superior uses process costing
A firm is considering the following changes: increasing inventory variety which will increase average inventory by $10,000, and offering more liberal sales terms which will result in average receivables increasing to $65,000. These actions are expected to increase sales to $800,000 per year, and cost of goods will remain at 75
The three overall strategies for effective and efficient management of cash include inventory, accounts receivables and accounts payable. Explain how the effective management of these 3 components impacts your cash conversion cycle.
Tropiano Electronics Corporation has a standard cost system in which it applies manufacturing overhead to products on the basis of standard machine-hours (MHs). The company had budgeted its fixed manufacturing overhead cost at 62,100 for the month and its level of activity at 3,200 MHs. The actual total fixed manufacturing overh
(See attached file for full problem description) --- Exercise 3-26 Health Foods Company produces and sells canned vegetable juice. The ingredients are first combined in the blending department and then packed in gallon cans in the canning department. The following information pertains to the blending department for January.
Which of the following is not a cost-based transfer price? A) Standard unit-level cost B) Actual cost C) Standard unit-level cost plus a markup D) Full cost (the product's unit-level cost plus an assigned portion of the higher-level costs)
An unfavorable volume variance means that a company operated at an activity level greater than that planned for the period. True False
Pohl Company uses a standard cost system in which manufacturing overhead is applied to units of product on the basis of standard machine-hours. For June, the company's manufacturing overhead flexible budget showed the following total budgeted costs at a denominator activity level of 20,000 machine-hours: Variable overhead c
Dexter Company uses a standard cost system and applies manufacturing overhead cost to units of product on the basis of standard direct labor-hours (DLHs). Information on Dexter Company's manufacturing overhead costs for last period is given below: Actual hours worked 40,000 DLHs Standard hours allowed for actual produc
Blaster, Inc., manufactures portable radios. Each radio requires 3 units of Part XBEZ52, which has a standard cost of $1.45 per unit. During May, the company purchased 12,000 units of the part for a total of $18,000. Also during May, the company manufactured 3,000 radios, using 10,000 units of part XBEZ52. Reference: 10-11