in Course ACCT 3121.2711,ACCapters 9-10 ilucation.com extemap-ir de sim2_com-consexternal browser=0&launchUrl=https":Sales revenueDirect materialsDirect laborOverhead costsAdministrationProduction setupQuality controlDistributionOperating profitActivity BaseSetting up*XPerforming quality controlDistribution3EZ-Seat, Inc., manufactures two types of reclining chairs, Standard and Ergo. Ergo provides support for the body through a complex setof sensors and requires great care in manufacturing to avoid damage to the material and frame. Standard is a conventional recliner,uses standard materials, and is simpler to manufacture. EZ-Seat's results for the last fiscal year are shown in the following statement.Ergo$2,000,000600,000400, 000GwMcGraw Hill Education Campus XEZ-SEAT, INC.Income Statement$dStandard$5,000,0001,500,000500,000EZ-Seat currently uses labor costs to allocate all overhead, but management is considering implementing an activity-based costingsystem. After interviewing the sales and production staff, management decides to allocate administrative costs on the basis of directlabor costs but to use the following bases to allocate the remaining costs.CCost DriverNumber of production runsNumber of inspectionsNumber of units shippedO%5JSavedTotal$7,000,0002,100,000900,00031630,000450,000330,000790,000$1,800,000< Prev6M Question 6- Homework Chapte XActivity LevelErgo Standard501002202206,3001,6006 of 18253A":252F%252Fnewconnect.mheducation.com/252F#/activity/queV poO B7OUtica Manufacturing (UM) wa XNext >* 00Help SavJC[ in Course ACCT 3121.2711,ACCapters 9-10 ilucation.com extemap-ir de sim2_com-consexternal browser=0&launchUrl=https":Sales revenueDirect materialsDirect laborOverhead costsAdministrationProduction setupQuality controlDistributionOperating profitActivity BaseSetting up*XPerforming quality controlDistribution3EZ-Seat, Inc., manufactures two types of reclining chairs, Standard and Ergo. Ergo provides support for the body through a complex setof sensors and requires great care in manufacturing to avoid damage to the material and frame. Standard is a conventional recliner,uses standard materials, and is simpler to manufacture. EZ-Seat's results for the last fiscal year are shown in the following statement.Ergo$2,000,000600,000400, 000GwMcGraw Hill Education Campus XEZ-SEAT, INC.Income Statement$dStandard$5,000,0001,500,000500,000EZ-Seat currently uses labor costs to allocate all overhead, but management is considering implementing an activity-based costingsystem. After interviewing the sales and production staff, management decides to allocate administrative costs on the basis of directlabor costs but to use the following bases to allocate the remaining costs.CCost DriverNumber of production runsNumber of inspectionsNumber of units shippedO%5JSavedTotal$7,000,0002,100,000900,00031630,000450,000330,000790,000$1,800,000< Prev6M Question 6- Homework Chapte XActivity LevelErgo Standard501002202206,3001,6006 of 18253A":252F%252Fnewconnect.mheducation.com/252F#/activity/queV poO B7OUtica Manufacturing (UM) wa XNext >* 00Help SavJC[

Activity based costing (ABC) is the costing method which allocates the overheads on the basis of…

apters 9-10 Sales revenue Direct materials Direct labor Overhead costs Administration Production setup Quality control Distribution Operating profit EZ-SEAT, INC. Income Statement Activity Base Setting up Ergo $2,000,000 600,000 400,000 Standard $5,000,000 1,500,000 500,000 Performing quality control Distribution Saved Total $7,000,000 2,100,000 900,000 EZ-Seat currently uses labor costs to allocate all overhead, but management is considering implementing an activity- system. After interviewing the sales and production staff, management decides to allocate administrative costs on the abor costs but to use the following bases to allocate the remaining costs. 630,000 450,000 330,000 790,000 $1,800,000 Cost Driver Number of production runs Number of inspections Number of units shipped Activity Level Ergo Standard 50 220 1,600 100 220 6,300 Required: a. Complete the income statement using the preceding activity bases. c. Restate the income statement for EZ-Seat using direct labor costs as the only overhead allocation base.

apters 9-10 Sales revenue Direct materials Direct labor Overhead costs Administration Production setup Quality control Distribution Operating profit EZ-SEAT, INC. Income Statement Activity Base Setting up Ergo $2,000,000 600,000 400,000 Standard $5,000,000 1,500,000 500,000 Performing quality control Distribution Saved Total $7,000,000 2,100,000 900,000 EZ-Seat currently uses labor costs to allocate all overhead, but management is considering implementing an activity- system. After interviewing the sales and production staff, management decides to allocate administrative costs on the abor costs but to use the following bases to allocate the remaining costs. 630,000 450,000 330,000 790,000 $1,800,000 Cost Driver Number of production runs Number of inspections Number of units shipped Activity Level Ergo Standard 50 220 1,600 100 220 6,300 Required: a. Complete the income statement using the preceding activity bases. c. Restate the income statement for EZ-Seat using direct labor costs as the only overhead allocation base.

Accounting Information Systems

11th Edition

ISBN:9781337552127

Author:Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill

Publisher:Ulric J. Gelinas, Richard B. Dull, Patrick Wheeler, Mary Callahan Hill

Chapter15: Integrated Production Processes (ipps)

Section: Chapter Questions

Problem 4P

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docs.google.com/forms/d/e Q 1/ Answer The Following Questions * :Cost objects include .1 products customers departments All of above answers are correct. The general term used to identify both .2 the tracing and the allocation of * :accumulated costs to a cost object is cost accumulation cost assignment cost tracing conversion costing :Budgeted costs are .3 II
is the delivery of products or services to customers. O a. Distribution b. Customer service c. Production d. Marketing Jump to... ot%=D98819&cmid%3D903508page%3=1
TASK A. Problem Solving. Analyze the given problems and use the worksheet provided for your answers. 1) Amore Companyproducestwoproductsinasinglefactory.Thefollowingproductionandcostinformationhasbe endetermined: Model1 1,000 100 Model2 200 Unitsproduced Materialmoves(total) Testingtime(total) Directiaborhoursperunit 40 250 125 Thecontrollerhasdetermined totaloverhead to beP480,000.P140,000relatestomateriaimoves;P150,000relatestotesting;theremainderisr elatedtolabortime. a) If Amore uses direct labor hours to allocate overhead to ach model, what would overhead per unit be for Model 2? b) If Amore uses activity-based costing to allocate overhoad to each model, what would overhead per unit be for Model 2? 2) GLPower Company manufactures a line of high-end laundry equipment. The accountant has proposed changing from a traditional costing syslem to an activity-based costing system. The president is not convinced of making the changes, so he requests that the next large order for equipment…
File Edit View History Bookmarks Window Help System (Academic) A elearn.squ.edu.om erial Accounting || fall20 Which one of the following is correct about variable costing systems? Select one: 1 a. Normally result into a lower product cost compared to absorption costing systems b. Calculate product cost as the sum of directs materials, direct labor, manufacturing overhead costs, and selling cost c. Calculate product cost as the sum of directs materials, direct labor and manufacturing overhead costs d. Focuses on both variable and fixed costs.
DOCUMENT FLOWCHARTPrepare a flowchart that illustrates the sequence in which the followingsource documents are prepared.a. Bill of materialsb. Sales forecastc. Materials requisitiond. More tickete. Production schedulef. Route sheetg. Work orde
Value chain classifications Match each of the following cost items with the value chain business function where you would expect the cost to be incurred: Business Function Cost Item Answera. Research and development 1. Purchase of raw materialsb. Design 2. Advertisingc. Production 3. Salary of research scientistsd. Marketing 4. Shipping expensese. Distribution 5. Reengineering of product assembly processf. Customer service 6. Replacement parts for warranty repairs7. Manufacturing supplies8. Sales commissions9. Purchase of CAD (computer-aideddesign) software10. Salary of website designer
1. Determine the total costs of the advertising and sales departments after using the direct method of allocation. 2. Determine the total costs of the advertising and sales departments after using the step method of allocation. 3. Determine the total costs of the advertising and sales department after using the reciprocal method of allocation.
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ivity Based Costing Assignment i nces s://ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https... Al A" ☆ aw 71 N F2 Ly Homework: Activity Based Costin X Required information [The following information applies to the questions displayed below.] # 3 Part Z Part X Totals E Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $265,000 in the Molding department and $225,000 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Units 3,000 4,000 F3 Complete this question by entering your answers in the tabs below. R F4 Q Search % Molding Department Hours per Unit 2.0 MH per unit 2.5 MH per unit Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental ove rate for the Trimming…
CengageNOWv2 | Online teachin x * Cengage Learning + n/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLocator=&inprogress=false еВook E Print Item Equivalent Units of Production: Weighted Average Cost Method The following information concerns production in the Finishing Department for May. The Finishing Department uses the weighted average cost method. ACCOUNT Work in Process-Finishing Department ACCOUNT No. Balance Date Item Debit Credit Debit Credit May 1 Bal., 25,400 units, 70% completed 101,600 31 Direct materials, 124,500 units 303,780 405,380 31 Direct labor 188,300 593,680 31 Factory overhead 191.400 785,080 31 Goods transferred, 132,100 units 755,612 29,468 31 Bal., 2 units, 30% completed 29,468 a. Determine the number of units in work in process inventory at the end of the month. units b. Determine the number of whole units to be accounted for and to be assigned costs and the equivalent units of production for May. Whole units units Equivalent units of…
Could you help me find the activity cost per unit
View Policies Current Attempt in Progress In which of the following categories do indirect materials belong? Product Cost Manufacturing Overhead Period Cost No No Yes Yes No No Yes Yes No Yes Yes Yes eTextbook and Media Save for Later O Attempts: 0 of 3 used Submit Answer