Product cost classifications Honey Co. makes aluminum canoes. The company's June 2017 costs for material and labor were as follows: Material costs: ⚫ Janitorial supplies $1,800 • Chrome rivets to assemble canoes 12,150 • Sealant 1,230 • Aluminum 1,683,000 Labor costs: • Janitorial wages $9,300 • Aluminum cutters 65,290 • Salespeople's salaries 43,050 . Welders 178,000 • Factory supervisors' salaries 101,250 Required: What is the direct labor cost for June?
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- 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.2.) American Girl Doll Furniture Makers has collected the following cost information regarding its production process. Cost information gathered from March is presented in the table below. Cost incurred Molt Plant supervisor salary DM Lumber DL Assembly worker wages MOH Lease on factory Cost behavior FC VC vc FC March cost $12,000 per month $75,000 VC VC $16 per hour $15,000 per month In March, the company produced 1,000 units and used 2,000 hours of production labor. Requirement 1: Fill in the blank column with the appropriate cost behavior for the item listed. Requirement 2: In April, the company anticipates it will produce 1,500 units. Given this information, $ 187,500 what do you predict their total product costs to be?Hartley Uniforms produces uniforms. The company allocates manufacturing overhead based on the machine hours each job uses. Hartley Uniforms reports the following cost data for the past year: Budget Actual 7,600 hours 6,100 hours Direct labor hours Machine hours 7,200 hours 6,300 hours Depreciation on salespeople's autos $23,000 $23,000 Indirect materials $48,500 $50,500 Depreciation on trucks used to deliver uniforms to customers solla $13,000 $70,000 $40,000 $11,000 Depreciation on plant and equipment Indirect manufacturing labor $72,500 $42,000 Customer service hotline $19,000 $21,000 Plant utilities $35,900 $38,400 Direct labor cost $72,500 $85,500 Requirements 1odel tba 1. Compute the predetermined manufacturing overhead rate. 2. Calculate the allocated manufacturing overhead for the past year. 3. Compute the underallocated or overallocated manufacturing overhead. How will this underallocated or overallocated manufacturing overhead be disposed of? 4. How can managers usA acco
- Angler Industries produces a product which goes through two operations, Assembly and Finishing, before it is ready to be shipped. Next year's expected costs and activities are shown below. Assembly 248,888 DLH Finishing 154,000 DLH 68,000 MH 448,800 MH $440,000 Direct labor hours Machine hours Overhead costs Assume that Angler Industries allocates overhead using a plantvide overhead rate based on machine hours. How much total overhead will be assigned to a product that requires 1 direct labor hour and 3.90 machine hours in the Assembly Department, and 4.00 direct labor hours and 0.6 machine hours in the Finishing Department? Multiple Chaises O O O $21.50 $17.60 $2.00. $18.10 $ 677,680 $13.20.Required information [The following information applies to the questions displayed below.] Aztec Industries produces bread which goes through two operations, mixing and baking, before it is ready to be packaged. Next year's expected costs and activities are shown below. Baking Mixing 405,000 DLH 805,000 MH $607,500 85,000 DLH 805,000 MH $405,000 Direct labor hours Machine hours Overhead costs Compute Aztec's departmental overhead rate for the baking department based on machine hours. Multiple Choice $0.50 per MH $1.50 per MH $2.07 per MH $4.76 per MHZeitgeist Company manufactures silicon sleeves for MP3 players. In August of last year, Zeitgeist began producing the colorful sleeves. During the month of August, 16,000 were produced, and 14,750 were sold at $6.95 each. The following costs were incurred: Direct materials $26,880 Direct labor 6,720 Variable overhead 5,920 Fixed overhead 28,160 A selling commission of 8% of sales price was paid. Administrative expenses, all fixed, amounted to $37,890. Required: 1. Calculate the unit cost and the cost of ending inventory under absorption costing. (Round unit cost to the nearest cent and cost of ending inventory to the nearest dollar.) 2. Calculate the unit cost and the cost of ending inventory under variable costing. (Round unit cost to the nearest cent and cost of ending inventory to the nearest dollar.) 3. What is the contribution margin per unit? (Round to the nearest cent.) 4. CONCEPTUAL CONNECTION: Zeitgeist believes that multicolored sleeves will really take off after one year of…
- Mark Corp. makes a chair with the following standard costs for direct materials and direct labor: Direct materials: 2 meters @ P3.25 per meter P6.50 Direct labor: 0.40 hours @ P12 per hour P4.80 During the month of December, 25,000 units of chairs were produced. The costs related to the production of these chairs were as follows: Direct materials purchased 60,000 meters @ P3.15 per meter Direct materials used in the production 52,500 meters Direct labor 9,875 hours @ P12.20 per hour The standard cost variances for direct materials and direct labor are as follows: Labor Efficiency Variance 124 hours @ P12 per hour 1,500 F Labor Rate Variance 9,875 hours @ PO.20 per hour 1,975 U Material Price Variance 60,000 meters @ PO.10 per meter 6,000 F Material Quantity Variance 2,500 meters @ P3.25 per meter 8,125 U Prepare the journal entries to record the purchased of materials, used of materials and labor incurrence.Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow: Basic Dominator Total Units produced 1,040 470 1,510 Machine-hours 3,700 2,800 6,500 Direct labor-hours 2,400 2,800 5,200 Direct materials costs $ 14,000 $ 4,150 $ 18,150 Direct labor costs 64,000 51,000 115,000 Manufacturing overhead costs 204,665 Total costs $ 337,815 Tiger Furnishings’s CFO believes that a two-stage cost allocation system would give managers better cost information. She asks the company’s cost accountant to analyze the accounts and assign overhead costs to two pools: overhead related to direct labor cost and overhead related to machine-hours. The analysis of overhead accounts by the cost accountant follows: Manufacturing Overhead OverheadEstimate Cost Pool Assignment Utilities $ 1,700…Alpesh
- IronBallon Co.makes two beverages: ZIPA and Zager. The following data is summarized: Cost ZIPA Zager Direct materials cost per unit $490 $2,010 Direct labor cost per unit $560 $120 Indirect manufacturing cost per unit ? ? Indirect manufacturing cost information includes the following: Activity Predetermined Overhead Allocation Rate ZIPA Zager Setup $1,210.00 45 Per setup 85 Per setup Machine maintenance $17.00 1,210 Per MHr 3,740 Per MHr IronBallon Co. plans to produce 290 units of each product.(Round your answers to two decimal places when needed and use rounded answers for all future calculations).1. Compute the ABC indirect manufacturing cost per unit for each product. ZIPA Predetermined Overhead Allocation Rate X Actual Quantity of the Allocation Base Used = Actual Manufacturing Overhead Cost Setup X = Machine Maintenance X = Total Estimated Overhead Costs Number of products Manufacturing overhead…Copland Components manufactures an electronic device for vehicle manufacturing. The current standard cost sheet for a device follows: Direct materials, ? ounces at $2.80 per ounce Direct labor, 0.4 hours at ? per hour Overhead, 0.4 hours at ? per hour Total costs $ per device ? per device per device $ 30 per device Assume that the following data appeared in Copland's records at the end of the past month: Actual production Actual sales Materials costs (505,000 ounces) Materials price variance Materials efficiency variance Direct labor price variance Direct labor (37,500 hours) Overapplied overhead (total) There are no materials Inventories. Required: 96,000 units 90,000 units $ ? 63,000 U 70,000 U 18,750 F 918,750 25,200 a. Prepare a variance analysis for direct materials and direct labor. b. Assume that all production overhead is fixed and that the $25,200 overapplied is the only overhead varlance that can be computed. What are the actual and applied overhead amounts? c. Complete the…Please help me
