provide answer for this account prob Dart Inc. began operations on January 1, 2019. Dart sells asingle product for $10 per unit. During 2019, 50,000 unitswere produced, and 40,000 units were sold.Costs for 2019 were:Direct materialsDirect laborManufacturing overheadSelling and administrativeFixedPortionVariable Portion$0 $2.00 per unit$0 $1.50 per unit$50,000 $0.75 per unit$ 80,000 $0.25 per unit soldUnder variable costing, the total period costs are:a. $50,000.b. $140,000.c. $90,000.d. $130,000.

To calculate the total period costs under variable costing, we need to sum up both fixed costs…

Answered: Dart Inc. began operations on January…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 7EB: A company estimates its manufacturing overhead will be $840,000 for the next year. What is the...

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Self-Construction Olson Machine Company manufactures small and large milling machines. Selling prices of these machines range from 35,000 to 200,000. During the 5-month period from August 1, 2019, through December 31, 2019, Olson manufactured a milling machine for its own use. This machine was built as part of the regular production activities. The project required a large amount of time front planning and supervisory personnel, as well as that of some of the companys officers, because it was a more sophisticated type of machine than the regular production models. Throughout the 5-month period, Olson charged all costs directly associated with the construction of the machine to a special account entitled Asset Construction Account. An analysis of the charges to this account as of December 31, 2019, follows: Olson allocates factory overhead to normal production as a percent of direct labor dollars as follows: Olson uses a flat rate of 40% of direct labor dollars to allocate general and administrative overhead. During the machine testing period, a cutter head malfunctioned and did extensive damage to the machine table and one cutter housing. This damage was not anticipated and was the result of an error in the assembly operation. Although no additional raw materials were needed to make the machine operational after the accident, the following labor for rework was required: Olson has included all these labor charges in the asset construction account. In addition, it included in the account the repairs and maintenance charges of 1,340 that it incurred as a result of the malfunction. Required: 1. Compute, consistent with GAAP and common practice, the amount that Olson should capitalize for the milling machine as of December 31, 2019, when it declares the machine operational. 2. Next Level Identify the costs you included in Requirement 1 for which there are acceptable alternative procedures. Describe the alternative procedure(s) in each case.
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Dart Inc. began operations on January 1, 2019. Dart sells a single product for $10 per unit. During 2019, 50,000 units were produced, and 40,000 units were sold. Costs for 2019 were: Direct materials Direct labor Manufacturing overhead Fixed Portion Variable Portion $0 $2.00 per unit produced $0 $1.50 per unit produced $50,000 Selling and administrative expenses $80,000 Under absorption costing, the total period costs are: a. $90,000. b. $50,000. $0.75 per unit produced $0.25 per unit sold c. $80,000. d. $130,000.
Nuvoview Manufacturing uses a normal cost system and had the following data available for 2019: Direct materials purchased on account $145,000 Direct materials requisitioned 88,000 Direct labor cost incurred 127,000 Factory overhead incurred 148,000 Cost of goods completed 299,000 Cost of goods sold 250,000 Beginning direct materials inventory 34,000 Beginning WIP inventory 70,000 Beginning finished goods inventory 55,000 Overhead application rate (% DL costs $) 130% Which of the following Answers below best fits in each black space? The ending balance of works in process inventory is________ A: Beginning direct materials inventory B: Beginning works in process inventory C: Cost of goods complete D: Cost of goods sold E: Direct labor incurred F: Direct materials purchased…
X Co. Ltd. produces three types of products A, B and C and keeps accounts for Process I, Process II and Process III. Following statements show the relative importance of each type of product in each process : Process I Points Process II Points Process III Points Product A Product B 2 4 2 4 2 1 Product C 8 3 2 Costs for each process for March, 2019 are as follows : Process I Process II $ 9,000 3,000 5,100 Process III $ 9,000 1,800 2,400 Total Materials Labour Overheads 12,000 4,200 3,000 $ 30,000 9,000 10,500 19,200 17,100 13,200 49,500 Production during the period : Product A 600 units ; Product B 300 units ; Product C 900 units. You are required to- (a) prepare a statement showing weighted average production for each process and (b) compute the cost for each type of product.
2. Hayday Enterprises applies manufacturing overhead on the basis of machine-hours. At the beginning of 2019, the cost accountant estimated the following cost information for the year: Total DM Costs $440,000 Total DL Costs $890,000 Total MOH Costs $754,000 Total Machine Hours 2,000 Total DL Hours 90,000 At the end of 2019, Hayday Enterprises' cost accountant noted that the company used 2,500 machine hours and actual MOH was $912,000. Was manufacturing overhead under-applied or over-applied and by how much? Provide over-application as a positive number, and under-application as a negative.
Sunset Inc. Plastics Company uses process costing and provided the following information for 2020: Units Percent Complete Percent Complete Direct Materials Conversion Costs Work-in-process at January 1 18,000 30% 70% Units started during the year 190,000 Work-in-process at December 31 30,000 80% 30% The cost of the beginning work-in-process included $103,750 for direct materials used and $54,380 for direct labor. Production costs during year were $603,250 for direct materials and $110,180 for direct labor. The company applies manufacturing overhead using direct labor costs. The manufacturing overhead rate for all years is 50% of direct labor. The cost transferred to finished goods inventory is: Multiple Choice $ 775,260 $ 862,600 $ 1,089,000 $ 857,960 Please don't provide answer in image format thank you
How do I determine the cost of one unit of SW 100 and SG 150, assuming department overhead rates are used. Overhead is assigned based on machine hours in both departments. Round t two decimal places, if necessary.
How do I determine the cost of one unit each of SW100 and SG150, assuming a company wide overhead rate is used based on total machine hours? Round rate to two decimal places.
The cost of raw materials purchases for 2019 is?
Hill Manufacturing uses departmental cost driver rates to apply manufacturing overhead costs to products. Manufacturing overhead costs are applied on the basis of machine hours in the Machining Department and on the basis of direct labor hours in the Assembly Department. At the beginning of 2020, the following estimates were provided for the coming year: Direct labor hours Machine hours Direct labor cost Manufacturing overhead costs Machining Direct labor hours Machine hours Direct material cost Direct labor cost 10,000 DLH 100,000 MH $80,000 $250,000 The accounting records of the company show the following data for Job # 846: Machining 50 DLH 170 MH Assembly 90,000 DLH 5,000 MH $2,700 $400 $720,000 $360,000 Assembly 120 DLH 10 MH $1,600 $900 4 Required: 1. Compute the manufacturing overhead allocation rate for each department. 2. Compute the total cost of Job #846. 3. Provide possible reasons why Hill Manufacturing uses two different cost allocation rates.
A company manufactures a chemical product by a series of operations in three processes. Raw material is fed into Process I and the finished chemical that comes out of Process III is transferred to finished goods store. The following particulars relating to operations for April 2019 are given below : Process I Process II Process III Raw materials issued 80,000 kgs. Direct wages Overhead costs $9,60,000 $1,25,600 $1,68,000 3% $1,42,500 $1,24,690 1% $1,72,000 $1,77,280 2% Normal processing loss (% of input) Output transferred to next process Work-in-process (cb) (Processed material awaiting transfer to next process) Prepare the accounts of Processes I, II, and III and also abnormal loss and abnormal gain accounts, if any. 69,000 kgs. 74,000 kgs. 3,000 69,400 kgs. 2,400

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