Food product labor Ice cream cone ingredients Sales and marketing costs Factory overhead Normal food spoilage Abnormal spoilage $175,000 325,000 10,000 16,000 4,000 3,000 What is the per unit inventory cost allocated to the company's frozen ice cream cone specialty items for December? a. $3.18 c. $3.22 b. $3.20 d. $3.26

Food product labor Ice cream cone ingredients Sales and marketing costs Factory overhead Normal food spoilage Abnormal spoilage $175,000 325,000 10,000 16,000 4,000 3,000 What is the per unit inventory cost allocated to the company's frozen ice cream cone specialty items for December? a. $3.18 c. $3.22 b. $3.20 d. $3.26

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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a) During June, Spencer Company’s material purchases amounted to 6,000 pounds at a price of $7.30 per pound. Actual costs incurred in the production of 2,000 units were as follows:Direct Labour: $116,745 ($18.10 per hour)Direct Materials: $ 30,660 ($ 7.30 per pound)The standards for one unit of Spencer Company’s product are as follows:Direct Labour Direct MaterialQuantity, 3 hours per unit Quantity, 2 pounds per unitRate, $18 per hour Price, $7 per poundCompute the direct-material price and quantity variances and the direct-labour rate and efficiency variances. Indicate whether each variance is favourable or unfavourable
Baird Manufacturing Co. expects to make 30,500 chairs during the year 1 accounting period. The company made 4,600 chairs in January. Materials and labor costs for January were $16,600 and $24,200, respectively. Baird produced 1,800 chairs in February. Material and labor costs for February were $9,900 and $13,700, respectively. The company paid the $518,500 annual rental fee on its manufacturing facility on January 1, year 1. The rental fee is allocated based on the total estimated number of units to be produced during the year. Required Assuming that Baird desires to sell its chairs for cost plus 30 percent of cost, what price should be charged for the chairs produced in January and February? (Round intermediate calculations and final answers to 2 decimal places.) January February Price per unit
Spa Manufacturing incurred direct materials costs of $450,000 during the year. Manufacturing overhead applied was $420,000 and is applied based on direct labor costs. The predetermined overhead rate is 70%. How much are Spa Manufacturing's total manufacturing costs for the year?
Albuquerque Manufacturing Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. Last year, the company worked 57,000 actual direct labor hours and incurred ₱345,000 of actual manufacturing overhead cost. The Company had estimated that it would work 55,000 direct labor hours during the year and incur ₱330,000 of manufacturing overhead cost. The company's manufacturing overhead cost for the year was: Overapplied by ₱3,000 Overapplied by ₱15,000 Underapplied by ₱3,000 Underapplied by ₱15,000
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Parkway Company incurred $134,000 in material costs during July. Additionally, the 12,800 units in the Work-in-Process Inventory on July 1 had materials assigned to them of $40,000, even though they were only 5% complete as to materials. No additional units were started during July, and there were no unfinished units on hand on July 31. What is the material cost per equivalent unit for July, assuming Parkway uses weighted-average process costing? Multiple Choice $10.47 $11.99 $13.59 $15.47
Slapshot Company makes ice hockey sticks and sold 1,880 sticks during the month of June at a total cost of $433,000. Each stick sold at a price of $400. Slapshot also incurred two types of selling costs: commissions equal to 10% of the sales price and other selling expenses of $65,000. Administrative expense totaled $53,800. Must put into a manufacturing firm income statement.
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Cello Industries commenced operations in January and uses a standard cost accounting system. During the month of January, Cello purchased and used 32,000 pounds of raw materials at a cost of $2.80 per pound. The standard price is $3.00 per pound. Cello completed 15,500 units of finished goods during January and the standard quantity of raw materials per unit is 2.0 pounds.. Which of the following journal entries properly records the purchase and use of raw materials in January? A. B. C. D. WIP inventory Dr. $93,000 Dr. $93,000 Dr. $92,600 Dr. $92,600 O Choice A O Choice B O Choice C O Choice D O None of the above Price variance Cr. $6,400 Cr. $6,200 Dr. $6,200 Dr. $6,400 Quantity variance Dr. $3,000 Dr. $2,800 Cr. $2,800 Cr. $3,000 Accounts payable Cr. $89,600 Cr. $89,600 Cr. $96,000 Cr. $96,000
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