Ayayai Company's organization chart includes the president; the vice president of production; three assembly factories-Dallas, Atlanta, and Tucson; and two departments within each factory-Machining and Finishing. Budget and actual manufacturing cost data for July 2022 are as follows. Finishing Department-Dallas: direct materials $52,700 actual, $54,560 budget; direct labor $103,416 actual, $101,680 budget; manufacturing overhead $63,240 actual, $61,008 budget. Machining Department-Dallas: total manufacturing costs $272,800 actual, $271,560 budget. Atlanta factory: total manufacturing costs $525,760 actual, $520,800 budget. Tucson factory: total manufacturing costs $612,808 actual, $615,660 budget. The Dallas factory manager's office costs were $117,800 actual and $114,080 budget. The vice president of production's office costs were $163,680 actual and $161,200 budget. Office costs are not allocated to departments and factories. (a) (b) Prepare the reports in a responsibility system for: The factory manager-Dallas. To Assembly factory Manager-Dallas Controllable Costs: Dallas Office $ Budget $ Actual $ Favorable Unfavorable Neither Favorable nor Unfavorable Month: July

Ayayai Company's organization chart includes the president; the vice president of production; three assembly factories-Dallas, Atlanta, and Tucson; and two departments within each factory-Machining and Finishing. Budget and actual manufacturing cost data for July 2022 are as follows. Finishing Department-Dallas: direct materials $52,700 actual, $54,560 budget; direct labor $103,416 actual, $101,680 budget; manufacturing overhead $63,240 actual, $61,008 budget. Machining Department-Dallas: total manufacturing costs $272,800 actual, $271,560 budget. Atlanta factory: total manufacturing costs $525,760 actual, $520,800 budget. Tucson factory: total manufacturing costs $612,808 actual, $615,660 budget. The Dallas factory manager's office costs were $117,800 actual and $114,080 budget. The vice president of production's office costs were $163,680 actual and $161,200 budget. Office costs are not allocated to departments and factories. (a) (b) Prepare the reports in a responsibility system for: The factory manager-Dallas. To Assembly factory Manager-Dallas Controllable Costs: Dallas Office $ Budget $ Actual $ Favorable Unfavorable Neither Favorable nor Unfavorable Month: July

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Description: (c)Prepare the reports in a responsibility system for: The vice president of production.To Vice President-ProductionControllable Costs:VP ProductionAssembly factories:TotaleTextbook and Media$$Budget$$Actual$$FavorableUnfavorableNeither Favorablenor

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter3: Process Cost Systems

Section: Chapter Questions

Problem 4E: The cost accountant for River Rock Beverage Co. estimated that total factory overhead cost for the...

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Rockford Company has four departmental accounts: Building Maintenance, General Factory Overhead, Machining, and Assembly. The direct labor hour method is used to apply factory overhead to the jobs being worked on in Machining and Assembly. The company expects each production department to use 30,000 direct labor hours during the year. The estimated overhead rates for the year include the following: During the year, both Machining and Assembly used 28,000 direct labor hours. Factory overhead costs incurred during the year follow: In determining application rates at the beginning of the year, cost allocations were made as follows, using the sequential distribution method: Building Maintenance to: General Factory Overhead, 10%; Machining, 50%; Assembly, 40%. General factory overhead was distributed according to direct labor hours. Required: Determine the under- or overapplied overhead for each production department. (Hint: First you must distribute the service department costs.)
The cost accountant for River Rock Beverage Co. estimated that total factory overhead cost for the Blending Department for the coming fiscal year beginning February 1 would be 3,150,000, and total direct labor costs would be 1,800,000. During February, the actual direct labor cost totalled 160,000, and factory overhead cost incurred totaled 283,900. a. What is the predetermined factory overhead rate based on direct labor cost? b. Journalize the entry to apply factory overhead to production for February. c. What is the February 28 balance of the account Factory OverheadBlending Department? d. Does the balance in part (c) represent over- or underapplied factory overhead?
A manufacturing company has two service and two production departments. Human Resources and Machine Repair are the service departments. The production departments are Grinding and Polishing. The following data have been estimated for next years operations: The direct charges identified with each of the departments are as follows: The human resources department services all departments of the company, and its costs are allocated using the numbers of employees within each department, while machine repair costs are allocable to Grinding and Polishing on the basis of machine hours. 1. Distribute the service department costs, using the direct method. 2. Distribute the service department costs, using the sequential distribution method, with the department servicing the greatest number of other departments distributed first.
Direct labor hours are estimated as 2,000 in Quarter 1; 2,100 in Quarter 2; 1,900 in Quarter 3; and 2,300 in Quarter 4. Prepare a manufacturing overhead budget using the information provided.
A manufacturing company has two service and two production departments. Building Maintenance and Factory Office are the service departments. The production departments are Assembly and Machining. The following data have been estimated for next years operations: The direct charges identified with each of the departments are as follows: The building maintenance department services all departments of the company, and its costs are allocated using floor space occupied, while factory office costs are allocable to Assembly and Machining on the basis of direct labor hours. 1. Distribute the service department costs, using the direct method. 2. Distribute the service department costs, using the sequential distribution method, with the department servicing the greatest number of other departments distributed first.
Varney Corporation, a manufacturer of electronics and communications systems, allocates Computing and Communications Services Department (CCS) costs to profit centers. The following table lists the types of services and cost drivers for each service. The table also includes the budgeted cost and quantity for each service for August. One of the profit centers for Varney Corporation is the Communication Systems (COMM) division. Assume the following information for COMM: COMM has 2,500 employees, of whom 20% are office employees. All of the office employees have been issued a smartphone, and 95% of them have a computer on the network. One hundred percent of the employees with a computer also have an email account. The average number of help desk calls for August was 0.6 call per individual with a computer. There are 400 additional printers, servers, and peripherals on the network beyond the personal computers. a. Compute the service allocation rate for each of CCSs services for August. b. Compute the allocation of CCSs services to COMM for August.
Pronghorn Company's organization chart includes the president; the vice president of production; three assembly factories-Dallas, Atlanta, and Tucson; and two departments within each factory-Machining and Finishing. Budget and actual manufacturing cost data for July 2022 are as follows. Finishing Department-Dallas: direct materials $44,200 actual, $45,760 budget; direct labor $86,736 actual, $85,280 budget; manufacturing overhead $53,040 actual, $51,168 budget. Machining Department-Dallas: total manufacturing costs $228,800 actual, $227,760 budget. Atlanta factory: total manufacturing costs $440,960 actual, $436,800 budget. Tucson factory: total manufacturing costs $513,968 actual, $516,360 budget. The Dallas factory manager's office costs were $98,800 actual and $95,680 budget. The vice president of production's office costs were $137,280 actual and $135,200 budget. Office costs are not allocated to departments and factories. (a) Prepare the reports in a responsibility system for: The…
Bridgeport Company's organization chart includes the president; the vice president of production; three assembly factories-Dallas, Atlanta, and Tucson; and two departments within each factory-Machining and Finishing. Budget and actual manufacturing cost data for July 2022 are as follows. Finishing Department-Dallas: direct materials $36,550 actual, $37,840 budget; direct labor $71,724 actual, $70,520 budget; manufacturing overhead $43,860 actual, $42,312 budget. Machining Department-Dallas: total manufacturing costs $189,200 actual, $188,340 budget. Atlanta factory: total manufacturing costs $364,640 actual, $361,200 budget. Tucson factory: total manufacturing costs $425,012 actual, $426,990 budget. The Dallas factory manager's office costs were $81,700 actual and $79,120 budget. The vice president of production's office costs were $113,520 actual and $111,800 budget. Office costs are not allocated to departments and factories.
please answer this with must explanation , computation , for each steps and each parts answer in text form
Expo manufacturing has two production departments and two support departments. The number of employees for each department is as follows: $35,378 O $28,940 Human Resources Accounting Machining Producing Assembly Producing Human Resources shows a budget of $21,000 and accounting, $98,000, for the coming year. Support department costs are allocated on the basis of the number of employees. How much in total support costs would be allocated to assembly, using the step method? The Accounting department is allocated first. $119,000 $34,867 5 10 520 220
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Tristion Inc. has two production departments, and estimated the following information for the 2022 fiscal year Assembly Dept. Testing Dept. Overhead $1,496,250 $365,625 Direct labour hours 356,250 81,250 Machine hours 80,000 162,500 Currently, the company uses departmental rates to assign overhead costs. Overhead costs are assigned on the basis of direct labour hours for the Assembly Department and machine hours for the Testing Department. For September, the company reported the following actual data: Assembly Dept. Testing Dept. Overhead $107,560 $34,340 Direct labour hours 28,600 6,770 Machine hours 5,700 13,520 Required (A) What are the predetermined overhead rates for each department? (B) Assume that Job R777 used 4 direct labour hours in the Assembly Department and 3 machine hours in the Testing Department. Compute the overhead assigned to Job R777. (C) How much overhead was applied in the month of September? (D)…