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Custom order entry system

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The system development team at Wilson Company is working on developing a new customer order entry system. In the process on designing the new system, the team has identified the following class and its attributes:

- Inventory order
- Order number,
- Order Date
- Street address
- City
- State
- Zip
- Customer type
- Initials
- District number
- Region number
...1 to 22 occurrences of: Item Name, Quantity order, Item Unit, Quantity, Item out, Quantity Received

State the rule that is applied to place a class in first normal form revise the above class diagram so that it is in INF.

State the rule that is applied to place a class into second normal form. Create a class diagram for the Wilson
Company using the class and attributes described to place it in.

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<b>Solution</b>

Let us start with a single table with all columns in it. Let's remember that, in all tables candidate keys (also known as Primary Keys) are in BOLD

Let's call the below table OrderInfo table:

Table OrderInfo:

Order_id
Order_date
Order_Number
Customer_id
Customer_name
Customer_address
Customer_city
Customer_state
Customer_zip
Customer_type

Item_id
Item_Name
Item_qty
Item_unit
Item_out
Item_received

The following FDs (functional dependencies) hold on the above table:

Order_Id -> Customer_id, Order_date, Order_number
Item_Id, Order_Id -> Item_Name, Item_Qty, Item_Unit, Item_out, Item_received
Customer_id -> Customer_Name, Customer_Address, Customer_City, Customer_State, Customer_zip
Item_Id -> Item_name, Item_qty, Item_unit..,

Primary key of the above table is a composite candidate key Order_id and Item_id

Clearly, this table is in 1 NF, but it is not in 2NF, so obviously not in 3 NF.

The table is not in 2 NF because we have FDs with part of candidate key Order_id and Item_id and also Customer_id

So, we have to separate the fields according to the FDs and create more tables.

Hence, at first we take the FD

Customer_id -> Customer_Name, Customer_Address, Customer_City, Customer_State, ...

Then, we need to put the below fields in Customer table

Customer_id ...

Solution Summary

The solution discusses the custom order entry system.

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See Also This Related BrainMass Solution

Job order costing; process costing; prepare journals; prepare t-accounts etc...

(1.) Which would be more appropriate in each of the following situations-job order costing or process costing.
a. A custom yacht builder
b. A golf course designer
c. A potato chip manufacturer
d. A business consultant
e. A plywood manufacturer
f. A Soft drink bottler
g. A film studio
h. A firm that supervisors bridge construction projects
i. A manufacturer of fine custom jewelry
j. A made to order garment factory
k. A factory making one personal computer model
l. A fertilizer factory

(2.) Foley Company uses a job-order costing system. The following data relate to the month of October, the first month of the company's fiscal year.

a. Raw materials purchased on account, $210, 000
b. Raw materials issued to production, #190,000 (80% direct and 20% indirect)
c. Direct labor cost incurred, $49,000; and indirect labor cost incurred, $21,000
d. Depreciation recorded on factory equipment, $105, 000
e. Other manufacturing overhead costs incurred during October, $130,000 (credit Accounts Payable)
f. The company applies manufacturing overhead cost to production on the basis of $4 per machine-hour. There were 75,000 machine-hours recorded for October
g. Production orders costing $510,000 according to their job cost sheets were completed during October and transferred to Finished Goods
h. Production orders that had cost $450,000 to complete according to their job cost sheets were shipped to customers during the month. These goods were sold at 50% above cost. The goods were sold on account.
1. Prepare journal entries to record the information given above
2. Prepare T-accounts for Manufacturing Overhead and Work in Process. Post the relevant information above to each account. Compute the ending balance in each account, assuming that Work in Process has a beginning balance of $35,000

(3.) The following cost data relate to the manufacturing activities of Black Company during the just completed year:

Manufacturing overhead costs:
Property taxes, factory $3,000
Utilities, factory 5,000
Indirect labor 10,000
Depreciation, factory 24,000
Insurance factory 6,000

Total actual manufacturing overhead costs 48,000

Other cost incurred:
Purchase of raw materials $32, 000
Direct labor cost 40,000
Inventories:
Raw materials, beginning 8,000
Raw materials, ending 7,000
Work in process, beginning 6,000
Work in process, ending 7,500

The company uses a predetermined overhead rate to apply overhead cost to production. The rate for the year was $5 per machine-hours; a total of 10,000 machine-hours was recorded for the year.

1. Compute the amount of under-or overapplied overhead cost for the year
2. Prepare a schedule of cost of goods manufactured for the year.

(4.) Custom Medal Works produces casting and other metal parts to customer specifications. The company uses a job order costing system and applies overhead costs to jobs on the basis of machine-hours. At the beginning of the year, the company estimated that it would work 576,000 machine-hours and incur $4,320,000 in manufacturing overhead cost.
The company had no work in process at the beginning of the year. The company spent the entire month of January working on one large order-job 382, which was order for 8,000 machine parts. Cost data for January follow:
a. Raw materials purchased on account, $315,000
b. Raw materials requisitioned for production, $270,000 (80% direct an 20% indirect)
c. Labor cost incurred in factory, $190,000, of which $80,000 was direct labor and $110,000 was indirect labor
d. Deprecation recorded on factory equipment, $63,000
e. Other manufacturing overhead cost incurred, $85,000 (credit Accounts Payable)
f. Manufacturing overhead cost applied to production on the basis of 40,000 machine-hours actually worked during January
g. The completed job was moved into the finished goods warehouse on January 31 to await delivery to the customer. (In computing the dollar amount for this entry, remember that the cost of a completed job consists of direct materials, direct labor and applied overhead)
1. Prepare journal entries to record items (a) through (f) above. Ignore item (g) for the moment.
2. Prepare T-accounts for Manufacturing Overhead and Work in Process. Post the relevant items from your journal entries to these T-accounts.
3. Prepare a journal entry for item (g) above
4. Compute the unit product cost that will appear on the job sheet for job 382

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