Please given correct answer general Accounting Marathon Sports manufactures tennis rackets and reported the following costs for2024:Cost CategoryDirect materialsDirect laborFixed manufacturing overheadVariable manufacturing overheadFixed selling and administrative expensesAmount$42,000$38,000$28,000$45,000$26,000Variable selling and administrative expenses $19,000Calculate the total product costs under variable costing.

Step 1: Define Total Product Costs under Variable CostinTotal product cost under variable costing…

Answered: Marathon Sports manufactures tennis…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter5: Process Costing

Section: Chapter Questions

Problem 1PB: The following product costs are available for Stellis Company on the production of erasers: direct...

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The following product Costs are available for Haworth Company on the production of chairs: direct materials, $15,500; direct labor, $22.000; manufacturing overhead, $16.500; selling expenses, $6,900; and administrative expenses, $15,200. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 7,750 equivalent units are produced, what is the equivalent material cost per unit? If 22,000 equivalent units are produced, what is the equivalent conversion cost per unit?
The following product costs are available for Kellee Company on the production of eyeglass frames: direct materials, $32,125; direct labor, $23.50; manufacturing overhead, applied at 225% of direct labor cost; selling expenses, $22,225; and administrative expenses, $31,125. The direct labor hours worked for the month are 3,200 hours. A. What are the prime costs? B. What are the conversion costs? C. What is the total product cost? D. What is the total period cost? E. If 6.425 equivalent units are produced, what is the equivalent material cost per unit? F. What is the equivalent conversion cost per unit?
Medical Tape makes two products: Generic and Label. It estimates it will produce 423,694 units of Generic and 652,200 of Label, and the overhead for each of its cost pools is as follows: It has also estimated the activities for each cost driver as follows: How much is the overhead allocated to each unit of Generic and Label?
Cool Pool has these costs associated with production of 20,000 units of accessory products: direct materials, $70; direct labor, $110; variable manufacturing overhead, $45; total fixed manufacturing overhead, $800,000. What is the cost per unit under both the variable and absorption methods?
Wrappers Tape makes two products: Simple and Removable. It estimates it will produce 369,991 units of Simple and 146,100 of Removable, and the overhead for each of its cost pools is as follows: It has also estimated the activities for each cost driver as follows: Â How much is the overhead allocated to each unit of Simple and Removable?
SmokeCity, Inc., manufactures barbeque smokers. Based on past experience, SmokeCity has found that its total annual overhead costs can be represented by the following formula: Overhead cost = 543,000 + 1.34X, where X equals number of smokers. Last year, SmokeCity produced 20,000 smokers. Actual overhead costs for the year were as expected. Required: 1. What is the driver for the overhead activity? 2. What is the total overhead cost incurred by SmokeCity last year? 3. What is the total fixed overhead cost incurred by SmokeCity last year? 4. What is the total variable overhead cost incurred by SmokeCity last year? 5. What is the overhead cost per unit produced? 6. What is the fixed overhead cost per unit? 7. What is the variable overhead cost per unit? 8. Recalculate Requirements 5, 6, and 7 for the following levels of production: (a) 19,500 units and (b) 21,600 units. (Round your answers to the nearest cent.) Explain this outcome.
Roper Furniture manufactures office furniture and tracks cost data across their process. The following are some of the costs that they incur. Classify these costs as fixed or variable costs, and as product costs or period costs. Wood used to produce desks ($125,00 per desk) Production labor used to produce desks ($15 per hour) Production supervisor salary ($45,000 per year) Depreciation on factory equipment ($60,000 per year) Selling and administrative expenses ($45,000 per year) Rent on corporate office ($44,000 per year) Nails, glue, and other materials required to produce desks (varies per desk) Utilities expenses for production facility Sales staff commission (5% of gross sales)
Swifty Corporation, Inc.currently manufactures a wicket as its main product. The costs per unit are as follows: Direct materials and direct labor $10 Variable overhead 5 Fixed overhead 8 Total $23 The fixed overhead is an allocated common cost. How much is the relevant cost of the wicket? $23 $15 $35 $18
Manoli Company has collected the following data for use in calculating product costs:Activity Data (expected and actual):Rug CleanersSweepersTotalUnits produced50,000250,000300,000Prime costs$200,000$750,000$950,000Direct labor hours10,00040,00050,000Machine hours20,00010,00030,000Number of setups2575100Inspection hours1,2002,8004,000Number of moves140210350Departmental Data (expected and actual):MoldingAssemblyTotalDirect labor hours:Rug cleaners5,0005,00010,000Sweepers5,00035,00040,000Totals10,00040,00050,000Machine hours:Rug cleaners17,0003,00020,000Sweepers3,0007,00010,000Totals20,00010,00030,000Overhead costs:Machining$120,000$ 30,000$150,000Moving materials40,00030,00070,000Setting up70,00010,00080,000Inspecting products20,00030,00050,000Totals$250,000$100,000$350,000What is the activity rate for moving materials?a. 0.2b. $800c. $1,000d. $200
Finney Inc. has conducted an analysis of overhead costs related to one of its product lines using a traditional costing system (volume-based) and an activity-based costing system. Here are its results. Traditional Costing ABC Sales revenue $600,000 $600,000 Overhead Costs: Product RX3 $34,000 $50,000 ProductY12 36,000 20,000 $70,000 $70,000Explain how a difference in the overhead costs between the two systems may have occurred.
Kesterson Corporation has provided the following information: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Sales commissions Variable administrative expense Fixed selling and administrative expense Cost per Unit $ 6.30 $ 3.30 $ 1.25 $ 1.30 $ 0.60 Cost per Period $ 15,000 $ 4,200 If 7,000 units are produced, the total amount of indirect manufacturing cost incurred is closest to:
Norred Corporation has provided the following information: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Sales commissions Cost per Cost per Unit Period $ 7.05 $ 3.70 $ 1.60 $ 1.50 $ 0.45 $121,500 Variable administrative expense Fixed selling and administrative expense $ 44,550 If 8,000 units are produced, the total amount of indirect manufacturing cost incurred is closest to:

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