One of the items was sold during the year. Required: Based on this information, how much product cost would be allocated to cost of goods sold and ending inventory, assuming use of: a. LIFO b. FIFO c. Weighted average (total cost/total number) | |Cost of goods sold |Ending inventory | |LIFO |700 |800 | |FIFO |800 |700 | |Weighted Average |750 |750 | Problem 2. Teague Company purchased a new machine on January 1, 2012, at a cost of $150,000. The machine is expected to have an eight-year life and a $15,000 salvage value. The machine is expected to produce 675,000 finished products during its eight-year life.
Joe makes $15 per hour and works 40 hours per week. 30-year mortgage interest rate of 6.25% and a monthly payment of $439.00 15-year mortgage interest rate of 5.25% and a monthly payment of $575.00 Down payment: 5% minimum Taxes last year were $375. Insurance is $250 per year. What you are looking for: 1. Can Joe afford the monthly payments with taxes and insurance for either a 30 or 15 year mortgage?
Fin-X Total operation cost Total number of units Cost per unit Allocation of operation cost Units Operation cost (@ $3 per unit) Materials cost Total Cost Number of units Unit Cost 10,000 Sci-X 40,000 Total $150,000 50,000 $3 10,000 $30,000 $200,000 (10,000 * 20) $230,000 10,000 $23 40,000 $120,000 $1,000,000 (40,000 *25) $1,120,000 40,000 $28 50,000 $150,000 The cost of Fin-X per unit is $23. The cost per unit for Sci-X is $28. 3 7-22 Predetermined Overhead Rates Tappan, Inc. manufactures one product and accounts for costs using a job cost system. You have obtained the following information from the corporation’s books and records for the year ended December 31, Year 1: o Total manufacturing cost during the year was $3,000,000 based on actual direct material, actual direct labor, and applied manufacturing overhead. o Manufacturing overhead was applied to work in process at 75 percent of direct labor dollars.
ACCT 550 Week 7 Homework Chapter 11: E11-4, E11-9, E11-11, E11-17 E11-4 (Depreciation Computations—Five Methods) Wenner Furnace Corp. purchased machinery for $279,000 on May 1, 2012. It is estimated that it will have a useful life of 10 years, salvage value of $15,000, production of 240,000 units, and working hours of 25,000. During 2013, Wenner Corp. uses the machinery for 2,650 hours, and the machinery produces 25,500 units. Instructions From the information given, compute the depreciation charge for 2013 under each of the following methods. (Round to the nearest dollar.)
(Reid & Sanders, 2010) Answer 1: Develop a staffing plan for RWBFC in accordance with the constraints stated in the case. A staffing plan was developed using the constraints specified in the Answer 2: Discuss the method used in developing the staffing plan. Tibrewala, Phillippe, and Brown technique of 1972 was used in developing the staffing plan for RWBFC. The objective of this technique was to enable a company to operate seven days a week and give each of its full-time employees two consecutive days off. However RWBFC manufacturing manager has requested that her employees work 10 hour days, 4 days a week with three consecutive days off.
Exercise 3-13. Costing Units Completed and Ending Work in Process: [LO 2,3,4] At the start of November, Penco Refinery had Work in Process inventory consisting of 4,000 units that were 90 percent complete with respect to materials and 50 percent complete with respect to conversion costs. The cost of the units was $43,000 ($30,000 of material cost and $13,000 of labor and overhead). During November, the company started 44,000 units and incurred $421,990 of material cost and $394,880 of labor and overhead. The company completed 45,000 units during the month, and 3,000 units were in process at the end of November.
Assignment part I Question 1 (18 points) United Aluminum Company produces three grades (high, medium, and low) of alumnimum at two mills. Each mill has a different production capacity (in tons per day) for each grade, as follows: |Aluminum grade |Mill 1 |Mill 2 | |High |6 |2 | |Medium |2 |2 | |Low |4 |10 | The company has contracted with a manufacturing firm to supply at least 12 tons of high-grade aluminum, 8 tons of medium-grade aluminum, and 5 tons of low-grade aluminum. It costs United $6,000 per day to operate mill 1 and $7,000 per day to operate mill 2. The company wants to know the number of days to operate each mill in order to meet the contract at the minimum cost. a. Formulate the linear programming model for this problem and solve graphically.
( 9 marks ) (b) Calculate the total working hours. ( 1 mark ) Question 2 ( 10 marks ) Complete the following transportation table for initial solution, using | To | D | E | F | Supply | From | | | | | | A | | | 9 | | 5 | | 3 | 400 | B | | | 7 | | 3 | | 7 | 300 | C | | | 10 | | 2 | | 8 | 200 | Demand | | 450 | | 220 | | 230 | | 900 | (a) Northwest Corner Method ( 4.5 marks ) (b) Least Cost Method ( 4.5 marks ) (c) Which initial solution produces the lowest total cost ? ( 1 mark ) Question 3 ( 10 marks ) Suki Corp specializes in manufacturing computer tables. It is considering of building a new factory to manufacture the tables. The size of the factory is either large, medium and small.
This process takes 0.16 hour for a batch of 100 larger tiles and 0.20 hour for a batch of 100 smaller tiles. Forty hours are available each week for the glazing process. Each batch of 100 large tiles requires 32.8 pounds of the clay derivative to produce,
Its cost was $12,000, it has a ten-year life, and straight-line depreciation will be taken. SOLUTION: 1. Factory Overhead Cost Budget Percent of normal capacity 80% 90% 110% Number of units 4,000 4,500 5,500 Number of standard direct labor hours 16,000 18,000 22,000 Budgeted factory overhead: Fixed cost: Depreciation on building and machinery $ 1,200 $ 1,200 $ 1,200 Taxes on building and machinery 500 500 500 Insurance on building and machinery 500 500 500 Superintendent’s salary 1,500 1,500 1,500