Required: a) Compute prime cost, manufacturing cost and cost of goods manufactured. b) Compute cost of goods sold.
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- Wyandotte Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 256,900, direct labor cost was 176,000, and overhead cost was 308,400. There were 40,000 units produced. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 6.62 is direct materials and 7.71 is overhead. What is the prime cost per unit? Conversion cost per unit?Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Refer to Exercise 2.21. Last calendar year, Ellerson recognized revenue of 1,312,000 and had selling and administrative expenses of 204,600. Required: 1. What is the cost of goods sold for last year? 2. Prepare an income statement for Ellerson for last year.Orinder Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 275,800, direct labor cost was 153,000, and overhead cost was 267,300. There were 25,000 units produced. Unit manufacturing cost (rounded to the nearest cent) is a. 28.40 b. 27.98 c. 34.95 d. 27.55
- R Ltd. produces a product with the following costs as of July 1, 20XX: Material Labour Overhead $5 per unit 7 per unit 5 per unit Assuming R sold 26,000 units during the last six months of the year at $22 each, beginning inventory at these costs on July 1 was 8,000 units. From July 1 to December 31, 20XY, R produced 20,000 units. These units had a material cost of $6 per unit. The costs for labour and overhead were the same. a. If R uses FIFO inventory accounting, what would be the gross profit for the period? Gross profit b. If R uses FIFO inventory accounting, What is the value of ending inventory? Ending inventoryAt the beginning of the year, Craig Company had the following standard cost sheet for one of its plastic products: Direct materials (5 lbs. @ $4.00) Direct labor (2 hrs. @ $15.00) Standard prime cost per unit The actual results for the year are as follows: a. Units produced: 380,000. b. Materials purchased: 2,660,000 pounds @ $4.80. c. Materials used: 2,242,000 pounds. d. Direct labor: 684,000 hours @ $11.52. Required: Labor rate variance 1. Compute price and usage variances for materials. Enter amounts as positive numbers and select Favorable or Unfavorable. 1,793,600 X Labor efficiency variance $20.00 Material price variance Material usage variance 2. Compute the labor rate and labor efficiency variances. Enter amounts as positive numbers and select Favorable or Unfavorable. $ 30.00 $ $50.00DRS Manufacturing has the following standards for one of its products: Table 9: Production Costs Direct materials (2 meter @ RM5) RM10 Direct labor (0.5 hour @ RM10) RM5 During the most recent year, the following actual results were recorded: Table 10: Production Costs Production 6,000 units Direct materials (11,750 meter purchased and used) RM61,100 Direct labor (2,900 hours) RM29,580 Required: (i) Interpret the materials price and usage variances. (ii) Interpret the labor rate and efficiency variances.
- Citra Bhd manufactures two types of components, C-1 and C-2 and absorbs overheads on the basis of direct labour hours. Anticipated overheads for the upcoming accounting period is RM972,500. Information about the company's products is as follows: 80 C-1 C-2 Expected production volume (units) 3,000 12,000 Direct materials cost RM32 per unit RM40 per unit Direct labour/unit (RM15/hour) RM30 RM60 The overheads of Citra Bhd of RM972,500 can be identified with three main activities as follows: Order processing RM 180,000 Machine processing RM 650, 000 Product inspection RM 142,500 These activities are driven by number of orders processed, machine hours worked and inspection hours respectively. Data relevant to these activities are as follows: С-1 C-2 Order processed 380 220 Machine hours worked 22,000 28,000 Inspection hours 3,000 12,000 Required: a. Assuming the use of direct labour hours to apply overheads to production, compute the unit manufacturing costs of products C-1 and C-2 if the…LZS Bhd produces a single product called MY2.5 which is being exported to Indonesia. You are the management accountant of LZS Bhd and for the month ended 31 May 2021 you are provided with the following information in relation to MY2.5. (i) Standard cost per unit of MY2.5. Direct Materials : 4 kg per unit at RM3 per kg Direct Labour : 5 hours per unit at RM4 per hour Variable Overhead : 5 hours per unit at RM1 per hour Fixed Overhead : 5 hours per unit at RM3 per hour (ii) Standard selling price of MY2.5 is RM60 per unit. (iii) Budgeted production was 10,000 units . (iv) Overheads are absorbed based on the direct labour hours. (v) The actual results for the year are as follows: Sales at 9,500 units at a total sales of RM 551,000 Material consumption : 37,000kg of material at a total cost of RM120,250 Labour paid per hour : RM4.1 per hour to all factory workers. Labour cost paid in total : RM 200,900 Overheads paid : Variable : RM 46,550; Fixed : RM 145,000 (vi) No stocks held at the end…At the beginning of the year, Craig Company had the following standard cost sheet for one of its plastic products: Direct Materials (5lbs. @ $4.00) $20.00 Direct Labor (2hrs @ $15.00) $30.00 Standard Prime Cost per Unit $50.00 The actual results for the year are as follows: Units produced: 410,000. Materials purchased: 2,075,000 pounds @ $3.95. Materials used: 2,100,000 pounds. Direct labor: 825,000 hours @ $14.85. Questions: Compute the labor rate and labor efficiency variances, using both the formula and columnar approaches.
- At the beginning of the year, Craig Company had the following standard cost sheet for one of its plastic products: Direct materials (5 lbs. @ $4.00) $20.00 Direct labor (2 hrs. @ $15.00) 30.00 Standard prime cost per unit $50.00 The actual results for the year are as follows: Units produced: 420,000. Materials purchased: 2,940,000 pounds @ $5.05. Materials used: 2,520,000 pounds. Direct labor: 924,000 hours @ $10.92. Required: 1. Compute price and usage variances for materials. Enter amounts as positive numbers and select Favorable or Unfavorable. Material price variance $fill in the blank 1 Material usage variance $fill in the blank 3 2. Compute the labor rate and labor efficiency variances. Enter amounts as positive numbers and select Favorable or Unfavorable. Labor rate variance $fill in the blank 5 Labor efficiency variance $fill in the blank 7At the beginning of the year, Craig Company had the following standard cost sheet for one of its plastic products: Direct Materials (5lbs. @ $4.00) $20.00 Direct Labor (2hrs @ $15.00) $30.00 Standard Prime Cost per Unit $50.00 The actual results for the year are as follows: Units produced: 410,000. Materials purchased: 2,075,000 pounds @ $3.95. Materials used: 2,100,000 pounds. Direct labor: 825,000 hours @ $14.85. Questions: Compute price and usage variances for materials.At the beginning of the year, Craig Company had the following standard cost sheet for one of its plastic products: Direct materials (5 lbs. @ $4.00) $20.00 Direct labor (2 hrs. @ $15.00) 30.00 Standard prime cost per unit $50.00 The actual results for the year are as follows: Units produced: 400,000. Materials purchased: 2,060,000 pounds @ $3.95. Materials used: 2,100,000 pounds. Direct labor: 825,000 hours @ $14.85. Required: 1. Compute price and usage variances for materials. Enter amounts as positive numbers and select Favorable or Unfavorable. Material price variance $fill in the blank 1 Favorable Material usage variance $fill in the blank 3 Unfavorable 2. Compute the labor rate and labor efficiency variances. Enter amounts as positive numbers and select Favorable or Unfavorable. Labor rate variance $fill in the blank 5 Favorable Labor efficiency variance $fill in the blank 7 Unfavorable