PROBLEM 11CR Company has the following estimated costs for the next year:Direct materialsP4,00020,00015,00025,0008,00010,00012,000Direct laborRent on factory buildingSales salariesDepreciation on factory equipment .Indirect laborProduction supervisor's salary14. CR Company estimates that 20,000 labor hours will be worked during the year. If overhead is applied on thebasis of direct labor hours, the overhead rate per hour will be:a. P2.25.b. Р3.25.с. Р3.45.d. P4.70.PROBLEM 12Lucy Sportswear manufactures a specialty line of T-shirts. The company uses a job-order costing system. DuringMarch, the following costs were incurred on Job ICU2: direct materials P13,700 and direct labor P4,800. Inaddition, selling and shipping costs of P7,000 were incurred on the job. Manufacturing overhead was applied a therate of P25 per machine-hour and Job ICU2 required 800 machine-hours.15. If Job ICU2 consisted of 7,000 shirts, the Cost of Goods Sold per shirt was:a. P6.50b. P6.00c. P5.70d. PS.50PROBLEM 13Worrell Corporation has a job-order cost system. The following debits (credits) appeared in the Work in Processaccount for the month of March:March 1, balance.March 31, direct materialsMarch 31, direct labor .P12,00040,00030,00027,000(100,000)March 31, manufacturing overhead appliedMarch 31, to finished goods .Worrell applies overhead at a predetermined rate of 90% of direct labor cost. Job No. 232, the only job still inprocess at the end of March, has been charged with manufacturing overhead of P2,250.16. What was the amount of direct materials charged to Job No. 232?a. P2,250b. Р2.500c. P4,250d. P9,000PROBLEM 14Wayne company uses a job costing system and applies overbead to jobs using a predetermined overbead ratebased on direct labor-hours. The company had the following inventories at the beginning and end of March:March 31P30,00012,00072,000March 1Direct Materials..Work in Proces..P36,00018,00054,000Finished Goods.The following additional data pertain to operations during March:Direct materials purchased.Direct labor cost.P84,000P60,000P7.50 per direct labor-hourP10.00 per direct labor-hourDirect labor rate.Overhead rate..17. During March total debits to Work in Process were:a P84,000.b. P220,000.c. P144,000.d. P230,000. Use the following to answer the next three questions:The following were taken from the books of Marvin Company.March 31P167,000January 1P268,000Raw materialsWork in processFinished goodsP43,000(100 units)Materials purchasedDirect labor(200 units)P1,946,7002,125,800Factory overheadSales764,000(12,400 units at P535)The company uses the FIFO method for costing inventories.7. The number of units manufactured is:c. 12,500d. 15,200a 11.900b. 12,0008. The cost of goods manufactured per unit is:a. P300b. P350c. P395d. P4209. The cost of goods sold is:a. P4,091,500b. P4,109,500c. P4,901,500d. P4,910,500PROBLEM 7The Work in Process inventory acount of a manufacturing company shows a balance of P2,400 at the end of anaccounting period. The job cost sheets of the two uncompleted jobs show charges of P400 and P200 for directmaterials, and charges of P300 and PS00 for direct labor.10. From this information, it appears that the company is using a predetermined overhead rate, as a percentage ofdirect labor costs, of:a 80%.b. 125%.c. 300%.d. 240%.PROBLEM 8Freeman Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overheadto jobs. At the beginning of the year, the company estimated manufacturing overhead would be PI50,000 and directlabor hours would be 10,000. The actual figures for the year were P186,000 for manufacturing overhead and 12,000direct labor hours.11. The cost records for the year will show:a. overapplied overhead of P30,000.b. underapplied overhead of P30,000.c. underapplied overhead of P6,000.d. overapplied overhead of P6,000.PROBLEM 9Harrell Company uses a predetermined overhead rate based on direct labor hours to apply manufacturing overheadto jobs. At the beginning of the year the company estimated its total manufacturing overhead cost at P400,000 andits direct labor-hours at 100,000 hours. The actual overhead cost incurred during the year was P350,000 and theactual direct labor hours incurred on jobs during the year was 90,000 hours.12. The manufacturing overhead for the year would be:a. PI0,000 underapplied.b. PI0,000 overapplied.c. P50,000 underapplied.d. P50,000 overapplied.PROBLEM 10Simplex Company has the following estimated costs for next year:Direct materials ....Direct labor .Sales commissions .Salary of production supervisorIndirect materialsP15,00055,00075,00035,0005,00011,00016,000Advertising expenseRent on factory equipment13. Simplex estimates that 10,000 direct labor and 16,000 machine hours will be worked during the year. Ifoverhead is applied on the basis of machine hours, the overhead rate per hour will be:a. P8.56.b. P7.63.c. P6.94.d. P3.50.

Name: PROBLEM 11CR Company has the following estimated costs for the next y
Uploaded: 2024-03-20T06:32:49.000Z
Channel: Bartleby
Description: PROBLEM 11CR Company has the following estimated costs for the next year:Direct materialsP4,00020,00015,00025,0008,00010,00012,000Direct laborRent on factory buildingSales salariesDepreciation on factory equipment .Indirect laborProduction superviso

"Since you have asked multiple questions, we will solve first question for you. If you want any…

Business

Accounting

PROBLEM 11 CR Company has the following estimated costs for the next year. Direct materials Direct labor P4,000 20,000 15,000 25,000 8,000 10,000 12,000 Rent on factory building Sales salaries Depreciation on factory equipment . Indirect labor Production supervisor's salary 14. CR Company estimates that 20,000 labor hours will be worked during the year. If overhead is applied on the basis of direct labor hours, the overhead rate per hour will be: a. P2.25. b. P3.25. c. P3.45. d. P4.70.

PROBLEM 11 CR Company has the following estimated costs for the next year. Direct materials Direct labor P4,000 20,000 15,000 25,000 8,000 10,000 12,000 Rent on factory building Sales salaries Depreciation on factory equipment . Indirect labor Production supervisor's salary 14. CR Company estimates that 20,000 labor hours will be worked during the year. If overhead is applied on the basis of direct labor hours, the overhead rate per hour will be: a. P2.25. b. P3.25. c. P3.45. d. P4.70.

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

22
TB MC Qu. 04-97 (Algo) Kay Company budgets overhead... Kay Company budgets overhead cost of $3,645,000 for the next year. The company uses direct labor hours as its overhead allocation base. If hours are planned for the next year, how much overhead would be assigned to a product requiring 4 direct labor hours? Multiple Choice $45.00 $35.00 $180.00 $140.00
Chapter 23 Mesa Bottle Company (MBC) manufactures plastic two-liter bottles for the beverage industry. The cost standards per 100 two-liter bottles are as follows: Standard Cost per 100 Two-Liter Bottles Cost Category Direct labor Direct materials $1.86 6.48 0.56 Factory overhead Total $8.90 At the beginning of July, MBC management planned to produce 600,000 bottles. The actual number of bottles produced for July was 645,000 bottles. The actual costs for July of the current year were as follows: Actual Cost for the Month Ended Cost Category July 31, 2019 Direct labor $12,143 Direct materials 40,915 Factory overhead Total 3,780 $56,838 a. Prepare the July manufacturing standard cost budget (direct labor, direct materials, and factory overhead) for MBC, assuming planned production. b. Prepare a budget performance report for manufacturing costs, showing the total cost variances direct materials, direct labor, and factory overhead for July. c. Interpret the budget performance report.
gpu.9
6 part 2
help with work answer in text
Lynch Company manufactures and sells a single product. The following costs were incurred during the company's first year of operations: Variable costs per unit: Manufacturing: Direct materials $ 10 Direct labor $7 $3 Variable manufacturing overhead Variable selling and administrative Fixed costs per year: $3 Fixed manufacturing overhead $ 380,000 Pixed selling and administrative $ 290,000 During the year, the company produced 38,000 units and sold 18,000 units. The selling price of the company's product is $61 per unit. Required: 1. Assume that the company uses absorption costing: a. Compute the unit product cost. b. Prepare an income statement for the year. 2. Assume that the company uses variable costing: a. Compute the unit product cost. A b. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1A Reg 28 Reg 2A Req 18 Compute the unit product cost. Assume that the company uses absorption costing. During the year, the…
5