A company manufactures skateboards. Compute the total amount of product costs from the foll Cost item a. Wheels, $15,000 b. Wooden boards, $22,000 c. Advertising costs, $5,000 d. Insurance on factory, $6,000 e. Factory equipment depreciation, $8,000 f. Assembly worker wages, $11,000 g. Salesperson salaries, $16,000 h. Office manager's salary, $7,000 i. Factory utilities, $3,000

A company manufactures skateboards. Compute the total amount of product costs from the foll Cost item a. Wheels, $15,000 b. Wooden boards, $22,000 c. Advertising costs, $5,000 d. Insurance on factory, $6,000 e. Factory equipment depreciation, $8,000 f. Assembly worker wages, $11,000 g. Salesperson salaries, $16,000 h. Office manager's salary, $7,000 i. Factory utilities, $3,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: I. ABC company had the following expenses in June. $ 130,000 65,000 12,000 Direct labor Factory…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Jose Ruiz manages a car dealer’s service department. His department is organized as a cost center.…

A: Responsibility accounting refers to the process of accounting which provides reports for the…

Q: 15. When producing tables, a company incurs the following costs: $30 for screws, $6,500 for wood,…

A: Factory overheads are the cost incurred on the making of the goods but it does not include the…

Q: Question: Jasper Corporation incurred the following costs which includes salaries and wages in…

A: Step 1:Product cost is the cost incurred on a product to get it ready to sale, means all expenses…

Q: Edward Company reported the following costs and expenses in July: Factory utilities $21,400 Direct…

A: 1. Product Costs - Product Costs are the cost which are incurred to manufactured a product. This…

Q: The following information is available for a firm:

A: Answer: 1. $85,000 2. $132,750 3. $119,900 4. $217,750 5. $252,650 6. $96,130 Explanation: 1. The…

Q: Presented below are Oriole Company's monthly manufacturing cost data related to its personal…

A: The costs incurred for production are classified as direct and indirect costs. The direct costs are…

Q: Listed below are various costs related to a candy manufacturing company. Determine the amount of…

A: Product Cost: Product costs refer to the costs incurred by a business from manufacturing a product…

Q: King's Appliance Shop operates retail stores that sell appliances. The cost objects are the…

A: Part a. Which of the costs will be subject to direct cost tracing?Direct cost tracing involves…

Q: Browning Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its costs…

A: TOTAL COSTTotal Cost is the cost which is incurred to manufacture a product.Total Cost Includes Cost…

Q: Which of the following is an example of a mixed cost? a.rental costs of $10,000 per month plus…

A: In case of mixed costs there costs compromise of both the variable and fixed cost components

Q: A company manufactures motorcycles. Compute the total amount of direct materials costs from the…

A: Direct material is the cost which is incurred on the manufacture or making of the goods directly. It…

Q: omfy Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its costs from…

A: The period costs are the costs that are not related to production process. The selling and…

Q: Want answer

A: Hi, student, for you to understand the answers provided. I have listed the solution for your review.…

Q: Kayley Company manufactures jewelry boxes. The primary materials (wood, brass, and glass) and direct…

A: PREDETERMINED OVERHEAD RATEPredetermined rate means an indirect cost rate.Predetermined overhead…

Q: Compute the followings: Example of Answer: 4000 No comma, space, decimal point, or $ sign. Raw…

A: Factory overheads are also sometimes referred to as manufacturing overheads which include the…

Q: Oil for manufacturing equipment . Wood for frames. Company president's salary. 2$ 35 $50,000 $28,500…

Q: Edward Company reported the following costs and expenses in July: Factory utilities $22,800…

A: 1. Product Costs - Product Costs are the cost which are incurred to manufactured a product. This…

Q: Help

A: Analyzing Knight Company's Costsa. Total Manufacturing OverheadManufacturing overhead includes all…

Q: Compute the cost that is assigned to the car wheels and truck wheels product lines using an…

A: From the previous question it can be understood that estimated over head costs of setting up…

Q: Listed here are product costs for production of soccer balls. Classify each cost as either direct or…

A: Direct Cost :— These are the cost that are directly traceable to product. This cost is directly…

Q: a. Incurred and paid Web site expenses, $2,700. b. Incurred manufacturing wages of $18,000, 55% of…

Q: Custom Creations Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its…

A: The manufacturing overhead costs include the indirect costs incurred during the period. The…

Concept explainers

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.

Question

O
O
$61,000.
$65,000.
$70,000.
$81,000.
$59,000.

A company manufactures skateboards. Compute the total amount of product costs from the follo
Cost item
a. Wheels, $15,000
b. Wooden boards, $22,000
c. Advertising costs, $5,000
d. Insurance on factory, $6,000
e. Factory equipment depreciation, $8,000
f. Assembly worker wages, $11,000
g. Salesperson salaries, $16,000
h. Office manager's salary, $7,000
i. Factory utilities, $3,000

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduction:

VIEW

Step 2: Explanation:

VIEW

Solution

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Use the table below and record the amount in the appropriate column category. Cost Item Cost Prime cost Conversion Cost Factory Overhead Period Costs Rent on Factory equipment 11,000 Insurance on factory building 1,500 Raw materials 75,000 Sales Commissions 10,000 Utility costs for factory 900 Supplies for general office 300 Wages for assembly line workers 58,000 Depreciation on office equipment 800 Miscellaneous materials (Glue etc.) 1,100 Factory manager’s salary 5,700 Property taxes on factory building 400 Advertising for the laptops 14,000 Office Supervisor Salary 16,000 Depreciation of factory building 1,500
Listed here are the costs associated with the production of 1,000 drum sets manufactured by TrueBeat. 1. Plastic for casing-$20,000 2. Wages of assembly workers-$89,000 3. Property taxes on factory-$6,000 4. Office accounting salaries-$39,000 5. Drum stands-$35,000 6. Rent cost of office for accountants-$48,000 7. Office management salaries-$210,000 8. Annual fee for factory maintenance $16,000 9. Sales commissions-$21,000 10. Factory machinery depreciation, straight-line-$41,000 Costs Required: 1. Classify each cost and its amount as either product or period. The first cost is completed as an example. Costs 1. Plastic for casing 2. Wages of assembly workers 3. Property taxes on factory 4. Office accounting salaries 5. Drum stands 6. Rent cost of office for accountants 7. Office management salaries 8. Annual fee for factory maintenance 9 Sales commissions 10 Factory machinery depreciation, straight-line i $ Product 20,000 Period
Classify Costs Following is a list of various costs incurred in producing replacement automobile parts. With respect to the production and sale of these auto parts, classify each cost as variable, fixed, or mixed. 1. Cost of labor for hourly workers Fixed 2. Factory cleaning costs, $6,000 per month Mixed 3. Hourly wages of machine operators Variable 4. Computer chip (purchased from a vendor) 5. Electricity costs, $0.20 per kilowatt-hour 6. Metal 7. Salary of plant manager 8. Property taxes, $165,000 per year on factory building and equipment 9. Plastic 10. Oil used in manufacturing equipment 11. Rent on warehouse, $10,000 per month plus $25 per square foot of storage used 12. Property insurance premiums, $3,600 per month plus $0.01 for each dollar of property over $1,200,000 13. Straight-line depreciation on the production equipment 14. Pension cost, $1.00 per employee hour on the job 15. Packaging
Please organize the list (picture) into the corresponding categories: Product Cost: Direct Materials Product Cost: Direct Labor Product Cost: Manufacturing Overhead Period Cost: Selling Expense Period Cost: Administrative Expense
Classify each cost as being either variable or fixed with respect to the number of units produced and sold. 1. Insurance on IBM's corporate headquarters 2Salary of a supervisor overseeing production of printers at Hewlett 3. Commissions paid to automobile salespersons. 4. Depreciation of factory lunchroom facilities at a General Electric plant. 5. Steering wheels installed in BMWs.
Instructions: (a) Prepare the cost of goods manufactured schedule. (b) Compute the cost of goods sold.
Compute Manufacturinh Overhead costs: Electricity for Factory- 15,800 Labor- 31,000 Rent for factory- 23,000 Insurance on factory- 1,400 glass for bulbs- 55,200 cardboard for packaging- 7,000 Is my cost driver Labor 31,000? Wha tare my units? Estimated total Manufacturing overhead?Estimated total hours?
8
Cotton White, Incorporated, makes specialty clothing for chefs. The company reported the following costs for the current year: Factory rent Company advertising Wages paid to sewing personnel Depreciation on salespersons' vehicles Thread Utilities for factory Cutting room supervisor's salary President's salary Premium quality cotton material Buttons Factory insurance Depreciation on sewing machines Wages paid to cutters 1. Direct Materials Cost 2. Direct Labor Cost 3. Manufacturing Overhead Cost 4. Total Manufacturing Cost 5. Prime Cost $ 36,000 24,600 75,200 31,300 1,110 6. Conversion Cost 7. Total Period Cost 24,800 31,500 75,500 41, 200 785 Required: 1. Compute the cost of direct materials for Cotton White. 2. Compute the cost of direct labor for Cotton White. 3. Compute the cost of manufacturing overhead for Cotton White. 4. Compute the total manufacturing cost for Cotton White. 5. Compute the prime cost for Cotton White. 6. Compute the conversion cost for Cotton White. 7. Compute…