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External link to Question : 146.Marshland Company preparing the company’s statement of cash flows for : 1258393
Accounting

Question : 146.Marshland Company preparing the company’s statement of cash flows for : 1258393

  146.Marshland Company is preparing the company’s statement of cash flows for the fiscal year just ended. The following information is available:  Cash dividends declared for the year$40,000 Cash dividends payable at the beginning of the year$17,000 Cash dividends payable at the end of the year$13,000 The amount of cash paid for dividends was:     A. $44,000. B. $40,000. C. $57,000. D. $53,000. E. $36,000. 147.An increase in the accounts […]

External link to Question : 21) Norton’s Convenience store has a variable demand. The daily : 1217050
Accounting

Question : 21) Norton’s Convenience store has a variable demand. The daily : 1217050

  21) Norton’s Convenience store has a variable demand. The daily demand ranges from 270 to 330 customers a day who average purchasing 5 items each. The average daily demand is 300 customers. The convenience store currently operates 12 hours a day. Each order takes approximately 2 minutes.   Required: a.What is the average customer waiting time, in minutes?   b.What is the cycle time […]

External link to Question : 52. Which of the following statements correct? A. All transactions require compound entries. B. Compound : 1197826
Accounting

Question : 52. Which of the following statements correct? A. All transactions require compound entries. B. Compound : 1197826

    52. Which of the following statements is correct?  A. All transactions require compound entries. B. Compound entries include only debits. C. Accounts being debited should always follow the accounts being credited in a compound entry. D. Compound entries affect more than one debit and/or more than one credit.   53. The journal entry to record the purchase of equipment for a $100 cash down payment and a balance of […]

External link to Question : 41) ______ A) $0.0150 B) $0.0250 C) $0.0259 D) $0.01435 E) $0.030 42) What the approximate product : 1196107
Accounting

Question : 41) ______ A) $0.0150 B) $0.0250 C) $0.0259 D) $0.01435 E) $0.030 42) What the approximate product : 1196107

  41) ______ A) $0.0150 B) $0.0250 C) $0.0259 D) $0.01435 E) $0.030 42) What is the approximate production cost per unit for each pencil casing if the sales value at split off method is used? 42) ______ A) $0.0255 B) $0.0357 C) $0.0335 D) $0.0533 E) $0.0250 43) Two finished products, [A & B], are sold for $16 a unit and $24 a unit, […]

External link to Question : Learning Objective 6-9 (Appendix) 1) Which of the following statements TRUE? A) : 1253309
Accounting

Question : Learning Objective 6-9 (Appendix) 1) Which of the following statements TRUE? A) : 1253309

  Learning Objective 6-9 (Appendix)   1) Which of the following statements is TRUE? A) The depreciation expense reported on external financial statements prepared for shareholders is guided by generally accepted accounting principles. B) The depreciation expense reported on a federal income tax return is guided by generally accepted accounting principles. C) The depreciation expense reported on the income statement must match (the matching principle) […]

External link to Question : 144. Refer to the following selected financial information from Frankle Corp. : 1257750
Accounting

Question : 144. Refer to the following selected financial information from Frankle Corp. : 1257750

  144. Refer to the following selected financial information from Frankle Corp. Compute the company’s working capital.     Current Assets 306,450 Plant assets 338,000 Current Liabilities 107,800 Net sales 676,000 Net Income 75,000 A. $536,650.B. $230,200.C. $568,200.D. $198,650.E. $231,450. 145. Refer to the following selected financial information from Frankle Corp. Compute the company’s current ratio.     Current assets 306,450 Plant assets 388,000 Current Liabilities 107,800 Net sales 676,000 Net Income […]

External link to Question : 8) If the number of employees considered the cost driver, : 1211753
Accounting

Question : 8) If the number of employees considered the cost driver, : 1211753

  8) If the number of employees is considered the cost driver, what amount of personnel costs will be allocated to Department A? A) $35,000 B) $10,667 C) $140,000 D) $43,700   9) If the number of new hires is considered the cost driver, what amount of personnel costs will be allocated to Department A? A) $35,000 B) $10,667 C) $143,750 D) $43,700   10) […]

External link to Question : 31) A company has a beginning inventory of $40,000 and : 1230182
Accounting

Question : 31) A company has a beginning inventory of $40,000 and : 1230182

  31) A company has a beginning inventory of $40,000 and purchases during the year of $110,000. The beginning inventory consisted of 3,000 units and 7,000 units were purchased during the year. The average cost per unit is: A) $11.00. B) $13.33. C) $15.00. D) $15.71.   32) A company has a beginning inventory of $40,000 and purchases during the year of $110,000. The beginning […]

External link to Question : 61) N-C Associates in the process of evaluating its new client : 1196078
Accounting

Question : 61) N-C Associates in the process of evaluating its new client : 1196078

  61) N-C Associates is in the process of evaluating its new client services for the business consulting division. Estate Planning, a new service, incurred $600,000 in development costs and employee training. The direct costs of providing this service, which is all labour, averages $100 per hour. Other costs for this service are estimated at $2,000,000 per year. The current program for estate planning is […]

External link to Question : 7) When analyzing the change in operating income, the strategy : 1216962
Accounting

Question : 7) When analyzing the change in operating income, the strategy : 1216962

  7) When analyzing the change in operating income, the strategy component of growth will increase when: A) capacity is reduced B) production efficiencies are successfully implemented C) selling prices are increased D) more units are sold   8) When analyzing the change in operating income, the strategy component of price-recovery will increase when: A) capacity is reduced B) production efficiencies are successfully implemented C) […]

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July 1, 2023
    

 

87) The wages of a plant supervisor would be classified as a period cost.

88) For external reporting, GAAP requires that costs be classified as either variable or fixed.

89) Depreciation can be classified as either an inventoriable cost or a period cost, depending on what is being depreciated.

90) Depreciation on a factory can be classified as a period cost.

91) Springfield Manufacturing produces electronic storage devices, and uses the following three-part classification for its manufacturing costs: direct materials, direct manufacturing labor, and indirect manufacturing costs. Total indirect manufacturing costs for January were $300 million, and were allocated to each product on the basis of direct manufacturing labor costs of each line. Summary data (in millions) for January for the most popular electronic storage device, the Big Bertha, was:

 

 

Big Bertha

Direct manufacturing costs

$4,500,000

Direct manufacturing labor costs

$1,500,000

Indirect manufacturing costs

$4,250,000

Units produced

40,000

 

Required:

a.Compute the manufacturing cost per unit for each product produced in January.

b.Suppose production will be reduced to 30,000 units in February. Speculate as to whether the unit costs in February will most likely be higher or lower than unit costs in January; it is not necessary to calculate the exact February unit cost. Briefly explain your reasoning.

92) Whippany manufacturing wants to estimate costs for each product they produce at its Troy plant. The Troy plant produces three products at this plant, and runs two flexible assembly lines. Each assembly line can produce all three products.

 

Required:

a.Classify each of the following costs as either direct or indirect for each product.

 

b.Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product.

DirectIndirectFixedVariable

 

Assembly line labor wages________________________________

Plant manager's wages________________________________

Depreciation on the assembly

line equipment________________________________

Component parts for the product________________________________

Wages of security personnel for the

factory________________________________ 

 

93) Hammer Inc., had the following activities during 2012:

 

Direct materials:

Beginning inventory$ 20,000

Purchases61,600

Ending inventory10,400

Direct manufacturing labor16,000

Manufacturing overhead12,000

Beginning work-in-process inventory800

Ending work-in-process inventory4,000

Beginning finished goods inventory24,000

Ending finished goods inventory16,000

 

Required:

a.What is the cost of direct materials used during 2012?

b.What is cost of goods manufactured for 2012?

c.What is cost of goods sold for 2012?

d.What amount of prime costs was added to production during 2012?

e.What amount of conversion costs was added to production during 2012?

94) Helmer Sporting Goods Company manufactured 100,000 units in 20X5 and reported the following costs:

 

Sandpaper$ 32,000Leasing costs-plant$ 384,000

Materials handling320,000Depreciation-equipment224,000

Coolants & lubricants22,400Property taxes-equipment32,000

Indirect manufacturing labor275,200Fire insurance-equipment16,000

Direct manufacturing labor2,176,000Direct material purchases3,136,000

Direct materials, 1/1/X5384,000Direct materials, 12/31/X5275,200

Finished goods, 1/1/X5672,000Sales revenue12,800,000

Finished goods, 12/31/X51,280,000Sales commissions640,000

Work-in-process, 1/1/X596,000Sales salaries576,000

Work-in-process, 12/31/X564,000Advertising costs480,000

Administration costs800,000

 

Required:

a.What is the amount of direct materials used during 20X5?

b.What manufacturing costs were added to WIP during 20X5?

c.What is cost of goods manufactured for 20X5?

d.What is cost of goods sold for 20X5?

 

 

default image
July 1, 2023
    

 

87) The wages of a plant supervisor would be classified as a period cost.

88) For external reporting, GAAP requires that costs be classified as either variable or fixed.

89) Depreciation can be classified as either an inventoriable cost or a period cost, depending on what is being depreciated.

90) Depreciation on a factory can be classified as a period cost.

91) Springfield Manufacturing produces electronic storage devices, and uses the following three-part classification for its manufacturing costs: direct materials, direct manufacturing labor, and indirect manufacturing costs. Total indirect manufacturing costs for January were $300 million, and were allocated to each product on the basis of direct manufacturing labor costs of each line. Summary data (in millions) for January for the most popular electronic storage device, the Big Bertha, was:

 

 

Big Bertha

Direct manufacturing costs

$4,500,000

Direct manufacturing labor costs

$1,500,000

Indirect manufacturing costs

$4,250,000

Units produced

40,000

 

Required:

a.Compute the manufacturing cost per unit for each product produced in January.

b.Suppose production will be reduced to 30,000 units in February. Speculate as to whether the unit costs in February will most likely be higher or lower than unit costs in January; it is not necessary to calculate the exact February unit cost. Briefly explain your reasoning.

92) Whippany manufacturing wants to estimate costs for each product they produce at its Troy plant. The Troy plant produces three products at this plant, and runs two flexible assembly lines. Each assembly line can produce all three products.

 

Required:

a.Classify each of the following costs as either direct or indirect for each product.

 

b.Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product.

DirectIndirectFixedVariable

 

Assembly line labor wages________________________________

Plant manager's wages________________________________

Depreciation on the assembly

line equipment________________________________

Component parts for the product________________________________

Wages of security personnel for the

factory________________________________ 

 

93) Hammer Inc., had the following activities during 2012:

 

Direct materials:

Beginning inventory$ 20,000

Purchases61,600

Ending inventory10,400

Direct manufacturing labor16,000

Manufacturing overhead12,000

Beginning work-in-process inventory800

Ending work-in-process inventory4,000

Beginning finished goods inventory24,000

Ending finished goods inventory16,000

 

Required:

a.What is the cost of direct materials used during 2012?

b.What is cost of goods manufactured for 2012?

c.What is cost of goods sold for 2012?

d.What amount of prime costs was added to production during 2012?

e.What amount of conversion costs was added to production during 2012?

94) Helmer Sporting Goods Company manufactured 100,000 units in 20X5 and reported the following costs:

 

Sandpaper$ 32,000Leasing costs-plant$ 384,000

Materials handling320,000Depreciation-equipment224,000

Coolants & lubricants22,400Property taxes-equipment32,000

Indirect manufacturing labor275,200Fire insurance-equipment16,000

Direct manufacturing labor2,176,000Direct material purchases3,136,000

Direct materials, 1/1/X5384,000Direct materials, 12/31/X5275,200

Finished goods, 1/1/X5672,000Sales revenue12,800,000

Finished goods, 12/31/X51,280,000Sales commissions640,000

Work-in-process, 1/1/X596,000Sales salaries576,000

Work-in-process, 12/31/X564,000Advertising costs480,000

Administration costs800,000

 

Required:

a.What is the amount of direct materials used during 20X5?

b.What manufacturing costs were added to WIP during 20X5?

c.What is cost of goods manufactured for 20X5?

d.What is cost of goods sold for 20X5?

 

 

default image
July 1, 2023
    

 

87) The wages of a plant supervisor would be classified as a period cost.

88) For external reporting, GAAP requires that costs be classified as either variable or fixed.

89) Depreciation can be classified as either an inventoriable cost or a period cost, depending on what is being depreciated.

90) Depreciation on a factory can be classified as a period cost.

91) Springfield Manufacturing produces electronic storage devices, and uses the following three-part classification for its manufacturing costs: direct materials, direct manufacturing labor, and indirect manufacturing costs. Total indirect manufacturing costs for January were $300 million, and were allocated to each product on the basis of direct manufacturing labor costs of each line. Summary data (in millions) for January for the most popular electronic storage device, the Big Bertha, was:

 

 

Big Bertha

Direct manufacturing costs

$4,500,000

Direct manufacturing labor costs

$1,500,000

Indirect manufacturing costs

$4,250,000

Units produced

40,000

 

Required:

a.Compute the manufacturing cost per unit for each product produced in January.

b.Suppose production will be reduced to 30,000 units in February. Speculate as to whether the unit costs in February will most likely be higher or lower than unit costs in January; it is not necessary to calculate the exact February unit cost. Briefly explain your reasoning.

92) Whippany manufacturing wants to estimate costs for each product they produce at its Troy plant. The Troy plant produces three products at this plant, and runs two flexible assembly lines. Each assembly line can produce all three products.

 

Required:

a.Classify each of the following costs as either direct or indirect for each product.

 

b.Classify each of the following costs as either fixed or variable with respect to the number of units produced of each product.

DirectIndirectFixedVariable

 

Assembly line labor wages________________________________

Plant manager's wages________________________________

Depreciation on the assembly

line equipment________________________________

Component parts for the product________________________________

Wages of security personnel for the

factory________________________________ 

 

93) Hammer Inc., had the following activities during 2012:

 

Direct materials:

Beginning inventory$ 20,000

Purchases61,600

Ending inventory10,400

Direct manufacturing labor16,000

Manufacturing overhead12,000

Beginning work-in-process inventory800

Ending work-in-process inventory4,000

Beginning finished goods inventory24,000

Ending finished goods inventory16,000

 

Required:

a.What is the cost of direct materials used during 2012?

b.What is cost of goods manufactured for 2012?

c.What is cost of goods sold for 2012?

d.What amount of prime costs was added to production during 2012?

e.What amount of conversion costs was added to production during 2012?

94) Helmer Sporting Goods Company manufactured 100,000 units in 20X5 and reported the following costs:

 

Sandpaper$ 32,000Leasing costs-plant$ 384,000

Materials handling320,000Depreciation-equipment224,000

Coolants & lubricants22,400Property taxes-equipment32,000

Indirect manufacturing labor275,200Fire insurance-equipment16,000

Direct manufacturing labor2,176,000Direct material purchases3,136,000

Direct materials, 1/1/X5384,000Direct materials, 12/31/X5275,200

Finished goods, 1/1/X5672,000Sales revenue12,800,000

Finished goods, 12/31/X51,280,000Sales commissions640,000

Work-in-process, 1/1/X596,000Sales salaries576,000

Work-in-process, 12/31/X564,000Advertising costs480,000

Administration costs800,000

 

Required:

a.What is the amount of direct materials used during 20X5?

b.What manufacturing costs were added to WIP during 20X5?

c.What is cost of goods manufactured for 20X5?

d.What is cost of goods sold for 20X5?

 

 

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