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 $0.75 per unit produced $0.25 per unit sold Selling and administrative expenses $80,000 Under absorption costing the fixed overhead deferred in ending inventory is: a. $10,000. b. $14,000. c. $13,000. d. $9,000.

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 $0.75 per unit produced $0.25 per unit sold Selling and administrative expenses $80,000 Under absorption costing the fixed overhead deferred in ending inventory is: a. $10,000. b. $14,000. c. $13,000. d. $9,000.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter10: Property, Plant And Equipment: Acquisition And Subsequent Investments

Section: Chapter Questions

Problem 7P: Self-Construction Olson Machine Company manufactures small and large milling machines. Selling...

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A company estimates its manufacturing overhead will be $840,000 for the next year. What is the predetermined overhead rate given each of the following Independent allocation bases? Budgeted direct labor hours: 90,615 Budgeted direct labor expense: $750000 Estimated machine hours: 150,000
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 2.70 is direct materials and 5.30 is overhead. What is the prime cost per unit? Conversion cost per unit?
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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.
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Under absorption costing
TikTokElectronics manufactures an aluminium fibre tripod model“TRI-X” which sells for $1,600.The production cost computed per unit under traditional costing for each model in 2019was as follows: Traditional Costing TRIX Direct Materials $700 Direct Labour($20/hour) $120 Manufacturing overhead($38 per DLH) $228 Total per unit cost $1,048 In 2019, TikTokElectronics manufactured 26,000units of TRI-X. Under traditional costing, the gross profit on TRI-X was $552 ($1,600-$1,048). Management is considering phasing out TRI-X as it has continuously failed to reach the gross profit target of $600. Before finalizing its decision, management asks TikTokElectronics management accountant to prepare an analysis using activity-based costing (ABC). The management accountant accumulates the following information…
TikTok Electronics manufactures an aluminium fibre tripod model “TRI-X” which sells for $1,600. The production cost computed per unit under traditional costing for each model in 2019 was as follows:Traditional CostingDirect MaterialsDirect Labour ($20/hour) Manufacturing overhead ($38 per DLH) Total per unit costTRIX$700 $120 $228 $1, 048In 2019, TikTok Electronics manufactured 26,000 units of TRI-X. Under traditional costing, the gross profit on TRI-X was $552 ($1,600-$1,048). Management is considering phasing out TRI- X as it has continuously failed to reach the gross profit target of $600. Before finalizing its decision, management asks TikTok Electronics management accountant to prepare an analysis using activity-based costing (ABC). The management accountant accumulates the following information about overhead for the year ended December 31, 2019.Activity Cost Pools PurchasingMachine setupsMachining Quality ControlCost DriversNumber of orders Number of setups Machine hours Number…
TikTok Electronics manufactures an aluminium fibre tripod model “TRI-X” which sells for $1,600. The production cost computed per unit under traditional costing for each model in 2019 was as follows: Traditional Costing TRIX Direct Materials $700 Direct Labour ($20/hour) $120 Manufacturing overhead ($38 per DLH) $228 Total per unit cost $1, 048 In 2019, TikTok Electronics manufactured 26,000 units of TRI-X. Under traditional costing, the gross profit on TRI-X was $552 ($1,600-$1,048). Management is considering phasing out TRI- X as it has continuously failed to reach the gross profit target of $600. Before finalizing its decision, management asks TikTok Electronics management accountant to prepare ananalysis using activity-based costing (ABC). The management accountant accumulates the following information about overhead for the year ended December 31, 2019. Activity Cost Pools Cost Drivers…
TikTokElectronics manufactures an aluminium fibre tripod model“TRI-X” which sells for $1,600.The production cost computed per unit under traditional costing for each model in 2019was as follows: Traditional costing TRIX Direct materials $ 700 Direct labour ($ 20/hr) $ 120 Manufacturing overhead ($38 per DLH) $ 228 Total per unit cost $ 1048 In 2019, TikTok Electronics manufactured 26,000 units of TRI-X. Under traditional costing, the gross profit on TRI-Xwas $552 ($1,600-$1,048). Management is considering phasing out TRI-Xas it has continuously failed to reach the gross profit target of $600. Before finalizing its decision, management asks TikTokElectronics management accountant to prepare an 3analysis using activity-based costing (ABC). The management accountant accumulates the following information about overhead for the year ended December 31, 2019. Activity Cost pools Cost drivers Estimated overhead Expected use…
CORP incurred the following cost to produce product X which consisted of 1,000 units in January 2020: Direct materials: Requisition number 101: 400 yards of fabric at P 8 per yard and requisition number 102: 500 cubic feet of stuffing at 3 per cubic foot. Direct labor incurred are as follows: 500 hours was incurred (regular working hours for January is 110 hours per week with regular rate of 24 per hour. Overtime rate premium is 20%. Overtime hours are the result of inefficiency of the company’s machineries). Manufacturing overhead is applied based on direct labor hours at 20 per hour. At the end of January, 300 units of product X were still unsold. What is the cost of goods sold? Answer it quickly, I need it in 20 minutes