ated data 100 the manufactures ises and uses an activity Foased costing system. Johnston's activity reas and related (Click the icon to view the activity areas and related data.) Johnston produced two styles of bookcases in October. the standard bookcase and an unfinished bookcase, which has fewer parts and requires no finishing. The totals for quantities, direct materials costs, and other data follow (Click the icon to view the totals for quantities, direct materials costs, and other data) Read the requirements Requirement 1. Compute the manufacturing product cost per unit of each type of bookcase. (Enter a "0" for any zero-balances.) Standard Bookcase Unfinished Bookcase Total manufacturing cost Manufacturing cost per unit Data table Product Standard bookcase Unfinished bookcase Total Units Total Direct Total Direct Produced Materials Costs Labor Costs $ 4,000 5,000 72,000 $ 84,000 80.000 70,000 Print Done Total Number of Parts 12.000 10,000 Total Assembling Direct Labor Hours 6,000 5.000 Data table Budgeted Cost of Activity S 2.00 Activity Materials handling Assembly 15.00 4.50 150,000 Number of finished units Finishing "Refers to number of units receiving the finishing activity, not the number of units transferred to Finished Goods Inventory Allocation Base 210,000 Number of parts 3,500,000 Number of assembling direct labor hours Print Predetermined Overhead Allocation Rate Done S
ated data 100 the manufactures ises and uses an activity Foased costing system. Johnston's activity reas and related (Click the icon to view the activity areas and related data.) Johnston produced two styles of bookcases in October. the standard bookcase and an unfinished bookcase, which has fewer parts and requires no finishing. The totals for quantities, direct materials costs, and other data follow (Click the icon to view the totals for quantities, direct materials costs, and other data) Read the requirements Requirement 1. Compute the manufacturing product cost per unit of each type of bookcase. (Enter a "0" for any zero-balances.) Standard Bookcase Unfinished Bookcase Total manufacturing cost Manufacturing cost per unit Data table Product Standard bookcase Unfinished bookcase Total Units Total Direct Total Direct Produced Materials Costs Labor Costs $ 4,000 5,000 72,000 $ 84,000 80.000 70,000 Print Done Total Number of Parts 12.000 10,000 Total Assembling Direct Labor Hours 6,000 5.000 Data table Budgeted Cost of Activity S 2.00 Activity Materials handling Assembly 15.00 4.50 150,000 Number of finished units Finishing "Refers to number of units receiving the finishing activity, not the number of units transferred to Finished Goods Inventory Allocation Base 210,000 Number of parts 3,500,000 Number of assembling direct labor hours Print Predetermined Overhead Allocation Rate Done S
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Topic Video
Question
Yu.23.
Transcribed Image Text:Johnston, Inc. manufactures bookcases and uses an activity-based costing system. Johnston's activity areas and related data follow.
(Click the icon to view the activity areas and related data.)
Johnston produced two styles of bookcases in October. the standard bookcase and an unfinished bookcase, which has fewer parts and requires no finishing. The totals for quantities, direct materials costs, and other data follow:
(Click the icon to view the totals for quantities, direct materials costs, and other data.)
Read the requirements.
Requirement 1. Compute the manufacturing product cost per unit of each type of bookcase. (Enter a "0" for any zero-balances.)
Standard Bookcase Unfinished Bookcase
Total manufacturing cost
Manufacturing cost per unit
Data table
Product
Standard bookcase
Unfinished bookcase
Total Units
Produced
4,000
5,000
Total Direct Total Direct
Materials Costs Labor Costs
72,000 $ 84.000
80.000
70.000
$
Print
Done
Total Number
of Parts
12,000
10,000
Total Assembling
Direct Labor Hours
6,000
5,000
- X
Data table
Budgeted Cost of
Activity
S
Activity
Materials handling
Assembly
2.00
Allocation Base
210,000 Number of parts
3,500,000 Number of assembling direct labor hours
150,000 Number of finished units
15.00
4.50
Finishing
"Refers to number of units receiving the finishing activity, not the number of units transferred to Finished Goods
Inventory
Print
Predetermined
Overhead
Allocation Rate
Done
S
X
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!
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
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.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education