Quick Construction Company builds bridges and uses the percentage of completion method. Data on its latest bridge project shows the following: Total amount of contract awarded for building the bridge = $17,400 Estimated costs to build the bridge are $10,000 The following cost pattern was incurred in the 3 months to build the bridge (20% in month 1, 30% in month 2 and 50% in month 3). Payment is due 40 days after receiving the certification that a certain percentage has been completed by month end. Required 1: Assuming no other transaction happened, what is the balance of Accounts Receivables at the end of the first month? $ Required 2: Assuming no other transaction happened, what is the balance of Accounts Receivables at the end of the second month? $ Required 3: Assuming no other transaction happened, what is the balance of Accounts Receivables at the end of the third month? $

Quick Construction Company builds bridges and uses the percentage of completion method. Data on its latest bridge project shows the following: Total amount of contract awarded for building the bridge = $17,400 Estimated costs to build the bridge are $10,000 The following cost pattern was incurred in the 3 months to build the bridge (20% in month 1, 30% in month 2 and 50% in month 3). Payment is due 40 days after receiving the certification that a certain percentage has been completed by month end. Required 1: Assuming no other transaction happened, what is the balance of Accounts Receivables at the end of the first month? $ Required 2: Assuming no other transaction happened, what is the balance of Accounts Receivables at the end of the second month? $ Required 3: Assuming no other transaction happened, what is the balance of Accounts Receivables at the end of the third month? $

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

please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image)
Diane Buswell examined some of the accounting records and reported that Current Designs purchased 1,190 pounds of polyethylene powder for this order at a total cost of $2,023. Twenty (20) finishing kits were assembled at a total cost of $3,220. The payroll records showed that the type I employees worked 56 hours on this project at a total cost of $784. The type Il finishing employees worked 87 hours at a total cost of $978.75. A total of 20 kayaks were produced for this order. The standards that had been developed for this model of kayak were used in CD2 and are reproduced here. For each kayak: 52 pounds of polyethylene powder at $1.50 per pound 1 finishing kit (rope, seat, hardware, etc.) at $168 3 hours of type I labor from people who run the oven and trim the plastic at a standard wage rate of $14 per hour 4 hours of type Il labor from people who attach the hatches and seat and other hardware at a standard wage rate of $11 per hour. Calculate the eight variances that are listed…
Star Wars Corporation has identified the following overhead activities, costs, and activity drivers for the coming year. Activity Setup Inspecting Grinding Excepted Cost $180,000 $90,000 $630,000 Direct Material Direct Labor Units Completed Activity Driver Number setups Inspection hours Machine hours Number of setups Inspection hours Machine hours The company produces two different types of Starfighter aircrafts to be used by the Galactic Republic. Information regarding the production of each type is as follows: Aircraft A Activity Capacity $850,000 $200,000 1,000 35 2,000 13,000 75 6,000 18,000 Aircraft B $950,000 $200,000 500 40 4,000 5,000 The company's normal activity is estimated at 6,000 direct labor hours. Each batch uses approximately 3,000 hours of direct labor. 1,000 units of A uses 3,000 D/L hrs and 500 units of B uses 3,000 of D/L hrs. a) Determine the unit cost for each product using direct labor hours to apply overhead. b) Determine total overhead cost (for Aircrafts A &…
Sagar
Waterways has two major public-park projects to provide with comprehensive irrigation in one of its service locations this month. Job J57 and Job K52 involve 15 acres of landscaped terrain which will require special-order sprinkler heads to meet the specifications of the project. Using a job cost system to produce these parts, the following events occurred during December 2012. Raw materials were requisitioned from the company's inventory on December 2 for $5,061; on December 8 for $1,059; and on December 14 for $3,459. In each instance, two-thirds (2/3) of these materials were for J57 and the rest for K52. Six time tickets were turned in for these two projects for a total amount of 18 hours of work. All the workers were paid $16.50 per hour. The time tickets were dated December 3, December 9, and December 15. On each of those days, 6 labor hours were spent on these jobs, two-thirds (2/3) for J57 and the rest for K52. The predetermined overhead rate is based on machine hours. The…
Waterways has two major public-park projects to provide with comprehensive irrigation in one of its service locations this month. Job J57 and Job K52 involve 15 acres of landscaped terrain, which will require special-order, sprinkler heads to meet the specifications of the project. Using a job cost system to produce these parts, the following events occurred during December.Raw materials were requisitioned from the company’s inventory on December 2 for $5,091; on December 8 for $1,050; and on December 14 for $3,495. In each instance, two-thirds (2/3) of these materials were for J57 and the rest for K52.Six time tickets were turned in for these two projects for a total amount of 18 hours of work. All the workers were paid $17.5 per hour. The time tickets were dated December 3, December 9, and December 15. On each of those days, 6 labor hours were spent on these jobs, two-thirds (2/3) for J57 and the rest for K52.The predetermined overhead rate is based on machine hours. The expected…
AbC Company is a Contracting Company that builds custom- made boats. It received from Marvelous Boating Company (MBC) an order to build 5 custom-made boats. The boats are to be delivered in 6 months with the first two to be delivered in the next two months. The following costs are incurred for the TW0 boats to be delivered in two months time:Direct Materials $ 1 80,000 Direct Labor $200,000 Manufacturing Overhead is applied at 150% of Direct Labor. How much is the Cost for each Job completed?
Enjoy It Industries manufactures custom-designed playground equipment for schools and city parks. Enjoy It expected to incur $750,600 of manufacturing overhead cost, 41,700 of direct labor hours, and $1,000,800 of direct labor cost during the year (the cost of direct labor required $14,200 of direct materials. The City of Adams has contracted to purchase the playground equipment at a price of 27% over manufacturing cost. $24 per hour). The company allocates manufacturing overhead on the basis of direct labor hours. During July, Enjoy It completed Job 309. The job used 165 direct labor hours and Read the equirement Requirement 1. Calculate the manufacturing cost of Job 309. First identify the formula, then calculate the predetermined overhead rate. = Predetermined overhead rate per hour
Rubble, Inc. produced 1,000 backpacks, the company's product in 2020. The standard cost was 3 yards of cloth at a standard cost of $1.00 per yard. The accounting records show that 2,900 yards of cloth were used, and the company paid $1.05 per yard. Standard time to make the backpacks was 2 direct labor hours per unit at a standard rate of $9.75 per direct labor hours. Employees worked a total of 1,800 hours and were paid $9.25 per hour.1. Calculate the direct materials cost variance and the direct materials efficiency variance.
The Bella Vista Oceano Barca Company manufactures disposable two-person rubber rafts for use by tourists in exploring the area coast line. During the current month, direct materials costing $1,500,000 were put into production. Direct labor of $500,000 was incurred, and overhead equaled $1,000,000. Selling and administrative expenses totaled $100,000 for the month and the company manufactured 20,000 rubber rafts. Assume there was no beginning inventory and that 2,800 rubber rafts were sold. Required: A. Compute the per-unit product cost. $ B. Compute the per-unit prime cost. $ C. Compute the per-unit conversion cost. $ D. What is the cost of goods sold for the month? E. What is the cost of ending finished goods for the month? $