Question 6 Happy Cupboards Ltd uses two kinds of material to produce its bathroom cupboards; hardwood and plywood. The standard information for one unit of the material is as follows: Selling price per unit $24,900 Budgeted sales 27,500 Cost price per unit Actual sales $17,800 25,000 The standard information relating to each unit of cupboard are as follows: Hardwood Plywood 30 sq. ft at $5 per sq. ft $150 70 sq. ft at $6 per sq. ft $420 $570 In a particular period, 25000 cupboards were produced, using 800,000 sq. ft of hardwood and 1,600,000 sq. ft. of plywood. Required: (a) Calculate the traditional sales volume variance. (b) Compute the material usage, mix and yield variances.

Question 6 Happy Cupboards Ltd uses two kinds of material to produce its bathroom cupboards; hardwood and plywood. The standard information for one unit of the material is as follows: Selling price per unit $24,900 Budgeted sales 27,500 Cost price per unit Actual sales $17,800 25,000 The standard information relating to each unit of cupboard are as follows: Hardwood Plywood 30 sq. ft at $5 per sq. ft $150 70 sq. ft at $6 per sq. ft $420 $570 In a particular period, 25000 cupboards were produced, using 800,000 sq. ft of hardwood and 1,600,000 sq. ft. of plywood. Required: (a) Calculate the traditional sales volume variance. (b) Compute the material usage, mix and yield variances.

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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Question 2 Wexxon Ple currently makes four products for sale on the local market. Details of the four products and relevant information are given below for one period: Product Output in units Cost per unit: Direct material $40 Direct labour $28 Machine hours (per unit) 4 Axxon 120 Machine Department costs Set up costs Stores receiving costs Inspection/ Quality control Material Handling and Dispatch COST Set up cost Stores receiving Beach 100 Inspection/ Quality Control Material handling and dispatch $50 $21 3 Capal 80 The four products are similar and are usually produced in production runs of 20 units and sold in batches of 10 units. The production overhead is currently absorbed by using a machine hour rate, and the total of the production overhead for the period has been analyzed as follows: $30 $14 2 S 10,430 5,250 3,600 2,100 4,620 Delta 120 You have ascertained that the cost drivers to be used are as listed below for the overhead costs shown: $60 $21 3 COST DRIVER Number of…
< Period Cc b 8 3 of 15 1 AA 2 ! Home | bartli... ezto.mheducation.com a 23 my.post.edu... Required information [The following information applies to the questions displayed below.] Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: 8- Unit 1 - C... Direct materials. Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Okay 3 Average fixed manufacturing cost per unit G what is the h... 4 5 6 7 Average Cost per Unit $ 7.00 $ 4.50 $ 1.40 $ 4.00 $ 4.00 $ 2.10 $ 1.10 $ 0.55 8. If 12,500 units are produced, what is the average fixed manufacturing cost per unit produced? (Round your answer to 2 decimal places.) You Init 1 - C. 8 + 9 88 ct 0 de
v2.cengagenow.com Standard Direct Materials Cost per Unit Truly Delicious Inc. produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (1,810 bars) are as follows: Ingredient Price Cocoa Sugar Milk Quantity 600 lbs. $0.30 per lb. 180 lbs. $0.60 per lb. 150 gal. $1.70 per gal. Determine the standard direct materials cost per bar of chocolate. Round to two decimal places. X per bar Feedback Check My Work Remember the process discussed in chapter for calculating standard direct materials cost per unit.
Question:1 Fake Fur Company manufactures ecologically friendly fabric. Its primary customers are retailers. The estimated cost to make a meter of fabric is: Direct materials - $1.50 Direct labour - $0.70 Variable overhead - $2.05 Fixed overhead - $3.50 Total = $7.75 Variable selling costs per unit - $2.00 Fixed administration charges - $12,500 If Fake Fur Company prices its product using a mark-up of 150% of its variable production costs, what would the unit selling price be? Question:2 Your company wants to expand and it will cost $100,00. Your current sales are $1 million and your sales growth is 12%. If you expect no increase in expenses, can you expand next year? a) No, your increase in sales will not cover the expense. b) No, your expansion costs will go up. c) Yes, your increase in sales will cover the expense. d) Yes, your expansion costs will go down.
Home CengageNOWV2| Online teachin x takeAssignment/takeAssignmentMain.do?invoker-&takeAssignmentSessionLocator=D&inprogress-false Rusty Co. sells two products: X and Y. Last year, Rusty sold 5,000 units of X and 35,000 units of Y Related data are as follows: Unit Selling Unit Variable Unit Contribution Product Price Cost Margin $110 $70 $40 70 50 20 For break-even analysis, the unit contribution margin of E was Oa. $22.50 Ob. $60.00 Oc. $40.00 d. $20.00
Question 1 Use the following standard cost card for 1 gallon of ice cream to answer the questions. STANDARD COST CARD Product: Gallon of Ice Cream Manufacturing Cost Information Standard Standard Cost Cost Quantity per Unit Summary Direct Materials Cream 5 quarts $1.15 per quart $0.08 per ounce $36.00 per hour $5.75 $1.28 Sugar Direct Labor 16 ounces 3 minutes $1.80 Total Direct Costs $8.83 Actual direct costs incurred to make 50 gallons of ice cream: 275 quarts of cream at $1.05 per quart 832 ounces of sugar at $0.075 per ounce 165 minutes of labor at $37 per hour All material used was bought during the current period. А. Compute the material and labor variances. В. possible causes of the variances. Comment on the results and
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Question 2 Use the following standard cost card for 1 gallon of ice cream to answer the questions. STANDARD COST CARD Product: Gallon of Ice Cream Standard Cost Manufacturing Cost Information Standard Cost Quantity per Unit Summary Direct Materials Cream 5 quarts $1.15 per quart $0.08 per ounce $36.00 per hour $5.75 Sugar 16 ounces $1.28 Direct Labor 3 minutes $1.80 Total Direct Costs $8.83 Actual direct costs incurred to make 50 gallons of ice cream: 275 quarts of cream at $1.05 per quart 832 ounces of sugar at $0.075 per ounce 165 minutes of labor at $37 per hour All material used was bought during the current period. C. Compute the material and labor variances. D. Comment on the results and possible causes of the variances.
Period Ccb Home bart.... 5 of 15 2 Required information [The following information applies to the questions displayed below.] Martinez Company's relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows: # Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Fixed selling expense Fixed administrative expense Sales commissions Variable administrative expense Incremental cost per unit produced 15. What incremental manufacturing cost will Martinez incur if it increases production from 10,000 to 10,001 units? (Round your answer to 2 decimal places.) Okay 3 4 & LO 5 * 6 Average Cost per Unit $ 7.00 $ 4.50 $ 1.40 7 $4.00 $ 4.00 $ 2.10 $ 1.10 $ 0.55 You 8 I ! 9 11 ? 0 delete return
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