a. Only whole numbers are to be entered as answers. Therefore, DO NOT put any signs in such as $, %, #, or a comma etc. inyour answer. For example, if your answer is $1234 you should write 1234 as your answer and if your answer is 4%, write 4 asyour answer.b. Indicate a negative number by putting a minus sign in front. Therefore, if your answer is negative 1234 you need to post -1234as your answer.c. Round your answer to the nearest whole number, i.e. no decimal points. So if your answer is 1234.60 you should write 1235.Imperial Jewelers manufactures and sells a gold bracelet for $500.00. The company's accounting system says that the unit product cost forthis bracelet is $270.00 as shown below:Direct materials$130Direct labor84Manufacturing overhead 36Unit product cost$350The members of a wedding party have approached Imperial Jewelers about buying 26 of these gold bracelets for the discounted price of$400.00 each. The members of the wedding party would like special filigree applied to the bracelets that would require Imperial Jewelers tobuy a special tool for $480 and that would increase the direct materials cost per bracelet by $4. The special tool would have no other useonce the special order is completed.To analyze this special order opportunity, Imperial Jewelers has determined that all of its manufacturing overhead is fixed and unaffectedby variations in how much jewelry is produced in any given period. The company also believes that accepting this order would have noeffect on its ability to produce and sell jewelry to other customers. Furthermore, the company could fulfill the wedding party's order using itsexisting manufacturing capacity. buy a special tool for $480 and that would Increonce the special order is completed.To analyze this special order opportunity, Imperial Jewelers has determined that all of its manufacturing overhead is fixed and unaffectedby variations in how much jewelry is produced in any given period. The company also believes that accepting this order would have noeffect on its ability to produce and sell jewelry to other customers. Furthermore, the company could fulfill the wedding party's order using itsexisting manufacturing capacity.Required:1. What is the financial advantage (disadvantage) of accepting the special order from the wedding party?Question 11 of 20

Name: a. Only whole numbers are to be entered as answers. Therefore, DO NOT
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: a. Only whole numbers are to be entered as answers. Therefore, DO NOT put any signs in such as $, %, #, or a comma etc. inyour answer. For example, if your answer is $1234 you should write 1234 as your answer and if your answer is 4%, write 4 asyour

In order to take decision regarding whether the product is to be sold to new customer , we need to…

Business

Accounting

Imperial Jewelers manufactures and sells a gold bracelet for $500.00. The company's accounting system says that the this bracelet is $270.00 as shown below: Direct materials $130 Direct labor 84 Manufacturing overhead 36 Unit product cost $350

Imperial Jewelers manufactures and sells a gold bracelet for $500.00. The company's accounting system says that the this bracelet is $270.00 as shown below: Direct materials $130 Direct labor 84 Manufacturing overhead 36 Unit product cost $350

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Foxx Company incurs $565000 overhead costs each year in its three main departments, setup ($30000), machining ($375000), and packing ($160000). The setup department performs 40 setups per year, the machining department works 5000 hours per year, and the packing department packs 500 orders per year. Information about Foxx’s two products is as follows: Product A1 Product B1 Number of setups 20 20 Machining hours 1000 4000 Orders packed 150 350 Number of products manufactured 600 400 Using ABC, how much overhead is assigned to Product A1 each year? $113000 $282500 $138000 $427000
Pan Demic, Inc. (PDI) manufactures and sells cast iron skillets. A finished skillet sells for $40 and costs $15 to manufacture. PDI uses one raw material, iron ore, which is buys for $8/pound. Skillet Forgers heat the iron ore and form it into skillets. Forgers are paid $55/hour. Period 1: During the period, PDI purchased $4,000 of Iron Ore. At the end of the period, they had $2,400 of ore left in Raw Materials They used 120 hours of direct labor and incurred $12,000 of Factory Overhead. At the beginning of the period, PDI had $3,000 of costs in WIP and $2,400 of costs in Finished Goods. Prepare the Schedule of Cost of Goods Sold for PDI. Do not use dollar signs. Use whole numbers only (no decimal places) PDI Schedule of Cost of Goods Sold Finished Goods Beginning Inventory Cost of Goods Manufactured Account Cost of Goods Available for Sale Finished Goods Ending Inventory Cost of Goods Sold WIP Inventory Based on your work above, compete the Inventory section of the Balance Sheet as of…
Crystal Charm Company makes handcrafted silver charms that attach to jewelry such as a necklace or bracelet. Each charm is adorned with two crystals of various colors. Standard costs follow: Silver Crystals Direct labor Standard Quantity 0.65 oz. 5.00 Standard (Rate) $25.00 per oz. $ 0.50 per crystal 2.00 hrs. $15.00 per hr. During the month of January, Crystal Charm made 1,500 charms. The company used 935 ounces of silver (total cost of $24,310) and 7,550 crystals (total cost of $3,624.00), and paid for 3,150 actual direct labor hours (cost of $45,675.00). Standard Unit Cost $16.25 2.50 30.00 Required: 1. Calculate Crystal Charm's direct materials variances for silver and crystals for the month of January. (Round your intermediate calculations and final answers to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable.) Direct Material Price Variance Direct Material Quantity Variance Silver Crystals
Am. 105.
GEM Limited has a single product Flicks. The company normally produces and sells 80,000units of Flicks each year at a price of $240 per unit. The company’s unit costs at this level ofactivity are as follow:Direct material $57.00Direct labor 60.00Variable manufacturing overhead 16.80Fixed manufacturing overhead 30.00Variable selling and administrative costs 10.20Fixed selling and administrative costs 27.00 Total unit cost $201.00GEM has sufficient capacity to produce 100 000 units of Flicks a year without any increase infixed manufacturing overhead.Required:(a) GEM has an opportunity to sell 10 000 units to an overseas customer. Import duties andother special costs associated with this order would total $42 000. The only selling coststhat would be associated with the order would be a shipping cost of $9.00 per unit.What would be the minimum acceptable unit price for GEM to consider this order?(hint: GEM would not accept the order if it would reduce the…
Steering produces a hard disk drive that sells for $175 per unit. The cost of producing 25,000 drives in the prior year was: Direct material Direct labor Variable overhead Fixed overhead Total cost $ 700,000 475,000 225,000 1,500,000 $ 2.900.000 At the start of the current year, the company received an order for 2,940 drives from a computer company in China. Management of Steering has mixed feelings about the order. On one hand, they welcome the order because they currently have excess capacity. Also, this is the company's first international order. On the other hand, the company in China is willing to pay only $122 per unit. What will be the effect on profit of accepting the order? (Enter decrease in profit using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).)